Calculate the Enterprise value using following information: Number of Shares outstanding: 25,000 Book value per share: $18 Price to book ratio: 4.0 Excess cash in the Company: $58,000 a. $1,858,000 b. $1,742,000 c. $508,000 d. $0.20 million

Calculate the Enterprise value using following information: Number of Shares outstanding: 25,000 Book value per share: $18 Price to book ratio: 4.0 Excess cash in the Company: $58,000 a. $1,858,000 b. $1,742,000 c. $508,000 d. $0.20 million

College Accounting, Chapters 1-27

23rd Edition

ISBN:9781337794756

Author:HEINTZ, James A.

Publisher:HEINTZ, James A.

Chapter24: Analysis Of Financial Statements

Section: Chapter Questions

Problem 6CE

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Question

Calculate the Enterprise value using following information:
Number of Shares outstanding: 25,000
Book value per share: $18
Price to book ratio: 4.0
Excess cash in the Company: $58,000
a. $1,858,000
b. $1,742,000
c. $508,000
d. $0.20 million

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