Based on the corporate valuation model, the value of Macro Co.'s operations is $1.35 billion. The company's balance sheet shows $90 million in accounts receivable, $70 million in inventory, and $175 million in short-term investments that are unrelated to operations. The balance sheet also shows $85 million in accounts payable, $125 million in notes payable, $315 million in long-term debt, $55 million in preferred stock, $182 million in retained earnings, and $803 million in total common equity. If Macro has 40 million shares of stock outstanding, what is the best estimate of the stock's price per share? O $29.75 $28.00 $25.75 O $27.50 O $23.63

Based on the corporate valuation model, the value of Macro Co.'s operations is $1.35 billion. The company's balance sheet shows $90 million in accounts receivable, $70 million in inventory, and $175 million in short-term investments that are unrelated to operations. The balance sheet also shows $85 million in accounts payable, $125 million in notes payable, $315 million in long-term debt, $55 million in preferred stock, $182 million in retained earnings, and $803 million in total common equity. If Macro has 40 million shares of stock outstanding, what is the best estimate of the stock's price per share? O $29.75 $28.00 $25.75 O $27.50 O $23.63

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

Section: Chapter Questions

Problem 1PS

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A company has 60 million shares of stock outstanding with a market price per share of $50.00. The firm's balance sheet shows total assets of $4 Billion, total liabilities of $2.5 Billion and net income of $1,200 million. This firm would have a P/E ratio of .... and a Market to Book ratio of ...
Ava’s SpinBall Corp. lists fixed assets of $31 million on its balance sheet. The firm’s fixed assets have recently been appraised at $54 million. Ava’s SpinBall Corp.’s balance sheet also lists current assets at $24 million. Current assets were appraised at $44 million. Current liabilities’ book and market values stand at $6 million, and the firm’s book and market values of long-term debt are $26 million. Calculate the book and market values of the firm’s stockholders’ equity. Construct the book value and market value balance sheets for Ava’s SpinBall Corp. (Enter your answers in millions of dollars.) BOOK VALUE MARKET VALUE (in millions of dollars) Assets Current assets Fixed assets Total $0 $0 Liabilities and Equity Current liabilities Long-term debt Stockholders' equity Total $0 $0
Edelman engines has $18 million in total assets. It’s balance sheet shows $2 million in current liabilities $10 million in long term debt and $6 million in common equity. It has 300000 common shares outstanding and it’s stock price is $28.20 per share. What is edelmans market / book ratio
The total fixed Assets is 31,420 OMR . The total long term liabilities is 9970 OMR. The total current assets is 18,930 OMR. The Total current liabilities is 4765 OMR. The total shareholder equity is 35,615 OMR. The gross profit is 175,000 OMR. The net profit is 113,950 OMR. The liquid ratio is 3.25 . Give a brief report on the financial position of the company based on the above figures.
little book LTD has total assets of $860000. There are 75000 shares of stock outstanding, total book value of $750000 with a market value of $12 a share. The firm has a profit margin of 6.5% and a total asset turnover of 1.5. calcualte the company's EPS and market-to-book ratio.
What is the firm's net profit margin? O 16.67% Ⓒ 15.53% O 6.29% O 7.72% Ⓒ 14.98%
Marjorie Manufacturing's balance sheets report $250 million in total debt, $100 million in short-term investments, and $8 9 million in preferred stock. Marjorie has 13 million shares of common stock outstanding. A financial analyst estimated that Marjorie's value of operations is $900 million. What is the analyst's estimate of the intrinsic stock price per share?
Edelman Engines has $13 billion in total assets- of which cash and equivalents total $100 million. Its balance sheet shows $2.6 billion in current liabilities- of which the notes payable balance totals $1.03 billion. The firm also has $6.5 billion in long-term debt and $3.9 billion in common equity. It has 300 million shares of common stock outstanding, and its stock price is $25 per share. The firm's EBITDA totals $1.05 billion. Assume the firm's debt is priced at par, so the market value of its debt equals its book value. What are Edelman's market/book and its EV/EBITDA ratios? Do not round intermediate calculations. Round your answers to two decimal places. M/B: EV/EBITDA:
EV/EBITDA ratio Adler Industries has $3,125,000,000 in total assets of which cash and equivalents total $75,000,000. Its balance sheet shows $425,000,000 in current liabilities of which the notes payable balance totals $187,500,000. The firm also has $1,200,000,000 in long-term debt and $1,500,000,000 in common equity. It has 80 million shares of common stock outstanding, and its stock price is $25 per share. The firm's EBITDA totals $1,656,250,000. Assume the firm's debt is priced at par, so the market value of its debt equals its book value. What is Adler's EV/EBITDA ratio? (Note: You may want to refer to the Summary of Ratios worksheet in Module 1 on the course's canvas website.) 9. ⠀ a. 2.00 b. 2.55 c. 3.00 d. 3.44 e. 4.00
Based on the corporate valuation model, the value of Virtual Homes Co.'s operations is $1.15 billion. The company's balance sheet shows $50 million in accounts receivable, $77 million in inventory, and $215 million in cash and marketable securities. The balance sheet also shows $95 million in accounts payable, $165 million in notes payable, $470 million in long-term debt, $85 million in preferred stock, $281 million in retained earnings, and $705 million in total common equity. If Virtual Homes has 50 million shares of common stock and 10 million shares of preferred stock outstanding, what is the best estimate of the common stock's price per share? $12.90 O $64.50 $7.28 $15.44 $13.54

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