Which of the Following Is Not True of Share Exchange

Which of the following is not true of share exchange ratios?

A) They are used to value target firms
B) They are used to determine the number of new shares that must be issued by the acquirer in a share for share exchange
C) They provide useful information to determine the post transaction ownership distribution of the combined firms
D) They are defined as the offer price divided by the acquirer share price
E) The share exchange ratio can be less than, equal to, or greater than one