A corporation has total assets of $85 million and total liabilities of$5 million. If the corporation has 4 million shares of common stockoutstanding, what is the book value per share of common stock?

Q: Based on the corporate valuation model, the value of Chen Lin Inc.'s operations is $ 897 million.…

A: Stock Price - It refers to the current market price of share at which such stock is available for…

Q: A firm has $8 million in total assets. It has $3 million in current liabilities, $2 million in…

A: Total assets = Common stock + Preferred stock + Current liabilities + long term liabilities

Q: The charter of a corporation provides for the issuance of 100,000 shares of common stock.  Assume…

A: A cash dividend is the distribution of funds or money to shareholders normally from the…

Q: The book value of a company is $15 per share and the total commonstockholders’ equity is $45…

A: Common stock is the share of a company that gives ownership to a portion of the company. Companies…

Q: Windswept, Inc. has 8.5 million shares of stock outstanding. Its net income is $2.3 million. Its…

A: Solution:Price earnings ratio represents that how much times is the share price of the firm in…

Q: Shareholder Profitability Ratios The following information pertains to Capital Corporation: Net…

A: Ratio analysis is a method of measuring the financial position of the organization with different…

Q: A firm has $5,760,000 in its common stock account and $57,600,000 in its paid in capital account.…

A: Common stock consist of the par value of the share and paid-in capital is the excess amount on par…

Q: GenMath Corporation with a current market value of 40.92 declared a dividend of 6.72 per share for…

A: The dividend is the company's net profit for the period. Dividends are payments made to shareholders…

Q: A corporation purchases 31,000 shares of its own $10 par common stock for $39 per share, recording…

A: STATEMENT OF SHAREHOLDERS EQUITYStatement of Shareholders Equity is also Known as Changes in…

Q: billion, price ∕ earnings ratio 5 9, com- mon shares outstanding 5 180 million, and market/book…

A: Ev represents enterprise value of the company.EV=market value of common stock+market value of…

Q: The Holtzman Corporation has assets of $441,000, current liabilities of $105,000, and long-term…

A: A financial ratio known as net worth per share calculates the portion of a company's net worth or…

Q: Cleveland Corporation has 100,000 shares of common stock outstanding. The company's net income is…

A: Earnings for common stockholders = $950,000÷ Number of outstanding shares = 100,000Earnings per…

Q: StataProb Corporation has a current market value of 106.42 dec 92 per share. Which corporation will…

A: The earning of corporation will depends on the dividend and market price of stock and that would…

Q: An owner of 2,500 shares of Simmons Company common stock receives a stock dividend of 50 shares.a.…

A: Stock Dividends When the dividends are declared and paid to the common stockholders in the form of…

Q: Hayes Corporation has $300 million of common equity, with 6 million shares of common stock…

A: Market value added is the amount a company adds to its shareholder's equity after issuing shares, it…

Q: The charter of a corporation provides for the issuance of 99,000 shares of common stock. Assume that…

A: Dividends: Distribution of company profits to their share holders based on their investments.

Q: A corporation has 800,000 ordinary shares outstanding, Recently, the corporation bought 100,000…

A: The question is multiple choice question. Required  Choose the Correct Option.

Q: A firm has 1 million shares of common stock, 100,000 shares of preferred stock, and 50,000 bonds.…

A: Given: Particulars Shares Price Common stock                1,000,000 $59 Preferred stock…

Q: White Lily Company has prior year total assets of $7,111,885, current year total assets of…

A: Equity multiplier is a financial ratio that measures the how much portion of the company's assets is…

Q: ​Ron's Rodents Co. has total assets of ​$4.3 ​million, total​ short- and​ long-term debt of ​$1.8…

A: Book value is the net value of a firm's assets found on its balance sheet, and it is roughly equal…

Q: A corporation has the following account balances: Common Stock, $1 par value, $60000; Paid-in…

A: The organization can raise funds for the operation by issuing common stock, preferred stock for long…

Q: Your firm has net income of $210,000. The number of outstanding shares of common stock is 140,000.…

A: Common stockholders are considered as the owner of the company to which a regular income is provided…

Q: The charter of a corporation provides for the issuance of 95,000 shares of common stock. Assume that…

A: Common stock: These are the shares issued by a company to an outsider. These shares entitle a share…

Q: Sunstrand Incorporated has 190 million shares of common stock priced at $116, 13 million shares of…

A: The objective of the question is to calculate the weight of common stock in Sunstrand's capital…

Q: A corporation reacquires 60,000 shares of its own $10 par common stock for $3,000,000, recording it…

A: Authorized shares are the maximum number of shares a company is allowed to issue to shareholders as…

Q: 5. A company has $6,435,000 in common equity and 1,063,000 in outstanding shares. Shares sell at a…

A: Market value is the total value of shares based on their market price. Book value is the total value…

Q: What would be the weight used for equity in the computation of OMG's WACC? (Round your answer to 2…

A: Given, No.of shares outstanding  Common Stock = 7 million Preferred stock = 5 million Bonds = 4000…

Q: A company’s stock price is $50 per share. The company has $15 billion in total assets. Its balance…

A: Book value refers to the value of the asset, security, or liability that the company has recorded…

Q: (a) A company has 100,000 shares of $1 par value common stock outstanding with a current market…

A: “Since you have posted multiple questions, we will provide the solution only to the first question…

Q: ABC Corporation has assets that total $10 million and liabilities that total $2 million. It also has…

A: Book value per share is calculated by deducting all debt, liabilities, and preferred stock from…

Q: Harper Industries has $700 million of common equity on its balance sheet; its stock price is $32 per…

A: Introduction:- Share defined as amount of equity ownership in a corporation. Basic earnings per…

Q: If a firm’s equity is valued at $50 million and it has 500,000 shares of stock issued and…

A: Given Value of equity = $50 million Shares outstanding = 500,000

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A: EPS stands for earnings per share. EPS means the amount of profit a company makes per share.…

Q: Based on the corporate valuation model, Morgan Inc.'s total corporate value is $200 million. The…

A: First we need to calculate the equity market value by using equation below.Market value of Equity =…

Q: Hayes Corporation has $300 million of common equity, with 6 million shares of common stock…

A: Market value added is the amount a company adds to its shareholder's equity after issuing shares, it…

Q: A corporation has the following account balances: Common stock, $1 par value, $42000; Paid-in…

A: Shareholder's equity refers to the total amount of investment that the shareholders of an…

Q: What is the market price of a share of stock for a firm with 100,000 shares outstanding, a book…

A: Market Value  / Book Value Ratio = 3.50 Book Value = $3,000,000 Market Value = $3,000,000 * 3.50…

Q: State the stockholder’s equity of the Alphabet Corporation if it has a current net profit of…

A: In finance stockholders equity is the balance or the remaining amount of assets that are available…

Q: Mitchell Co. has $1.1 million of debt, $2 million of preferred stock, and $1.8 million of common…

A: A firm can finance its business operations through various sources of capital such as debt and…

Q: Assume that a company has $3 billion in preferred stock and $17 billion in common stock. Also, it…

A: The weighted average cost of capital is considered as a combination of different kinds of sources of…

Q: OMG Inc. has 4 million shares of common stock outstanding, 3 million shares of preferred stock…

A: In the given case, we have provided the number of common stock outstanding, preferred stock…

Q: Winston Watch's stock price is $75 per share. Winston has $10 billion in total assets. Its balance…

A: Given data: Stock Price $75  per share Total assets = $ billion Current Liabilities = $ 1 billion…

Q: A company has revenues of 24 million and depreciation and amortization expenses of 9 million.…

A: Given, Revenue = 24 million Depreciation and amortization expenses = 9 million  Operating margin =…

Stockholder's Equity

The stockholders’ equity (often referred to as the book value of the company) is the number of assets available to the stockholder after its entire liabilities is paid off. The stockholders’ equity is also sometimes referred to as owner's equity. The stockholders’ equity or book value generally includes common stock, treasury stock retained earnings. It is an indicator of a company's financial strength and is an important item on the company's balance sheet.