Use the Information for the Question(s)below

question 30

Essay

Use the information for the question(s)below.
Martin Manufacturing has earnings per share (EPS)of $3.00,5 million shares outstanding,and a share price of $32.Martin is considering buying Luther Industries,which has earnings per share of $2.50,2 million shares outstanding,and a share price of $20.Martin will pay for Luther by issuing new shares.There are no expected synergies from the transaction.
-Assume that Martin pays no premium to acquire Luther.Calculate Martin's price-earnings (P/E)ratio both pre- and post-merger.

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Schizophrenia

A noteworthy mental dysfunction characterized by disruption in mental operations, sensory interpretations, affectivity, communicative proficiency, self-awareness, and lifestyle.

Psychosis

A mental disorder characterized by a disconnection from reality, which may include hallucinations and delusions.

Schizophrenia

A severe mental disorder involving a breakdown in the relation between thought, emotion, and behavior, leading to faulty perception, inappropriate actions and feelings, withdrawal from reality and personal relationships into fantasy and delusion, and a sense of mental fragmentation.

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A highly contagious viral infection of the respiratory tract that causes annual outbreaks and can be severe, leading to hospitalization or death in high-risk groups.