Apex Corporation is considering the purchase of Pinnacle Company in a stock-for-stock exchange. Selected data on the two companies are shown in the following table:
![60_n.jpg](https://secure.tutorsglobe.com/CMSImages/60_n.jpg)
Assume that there are no synergistic benefits as the result of the merger. Determine EPS for the combined company if Apex offers a
a. 20 percent premium for Pinnacle
b. 40 percent premium for Pinnacle
c. 50 percent premium forPinnacle