after-tax benefit of $171 million. Devonshire Inc. has 5.7 million shares outstandi What is the maximum cash price per share that could be paid for Devonshire In

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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Tecumseh Inc. is analyzing the possible merger with Devonshire Inc. Savings from the merger are estimated to be a one-time
after-tax benefit of $171 million. Devonshire Inc. has 5.7 million shares outstanding at a current market price of $87 per share.
What is the maximum cash price per share that could be paid for Devonshire Inc.? (Omit $ sign in your response.)
Maximum cash price per share
Transcribed Image Text:Tecumseh Inc. is analyzing the possible merger with Devonshire Inc. Savings from the merger are estimated to be a one-time after-tax benefit of $171 million. Devonshire Inc. has 5.7 million shares outstanding at a current market price of $87 per share. What is the maximum cash price per share that could be paid for Devonshire Inc.? (Omit $ sign in your response.) Maximum cash price per share
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