Category of industry is real estate. The analysis of Market to Book Ratio is as follows: 2015: 0.0072x 2016: 0.0067x 2017: 0.0063x 2018: 0.0040x 2019: 0.0043x a. What is the trend analysis for that Market to Book Ratio and why it is increasing and decreasing?

Category of industry is real estate. The analysis of Market to Book Ratio is as follows: 2015: 0.0072x 2016: 0.0067x 2017: 0.0063x 2018: 0.0040x 2019: 0.0043x a. What is the trend analysis for that Market to Book Ratio and why it is increasing and decreasing?

Financial Reporting, Financial Statement Analysis and Valuation

8th Edition

ISBN:9781285190907

Author:James M. Wahlen, Stephen P. Baginski, Mark Bradshaw

Publisher:James M. Wahlen, Stephen P. Baginski, Mark Bradshaw

Chapter14: Valuation: Market-based Approach

Section: Chapter Questions

Problem 1GIC

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Question

Category of industry is real estate.
The analysis of Market to Book Ratio is as
follows:
2015: 0.0072x
2016: 0.0067x
2017: 0.0063x
2018: 0.0040x
2019: 0.0043x
a. What is the trend analysis for that Market
to Book Ratio and why it is increasing and
decreasing?

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