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vfiekz [6]
3 years ago
14

Enscoe Enterprises, Inc. (EEI) has 360,000 shares authorized, 300,000 shares issued, and 50,000 shares of treasury stock. At thi

s point, EEI has $2,350,000 of assets. $100,000 liabilities, $700,000 of common stock, and $1,550,000 of retained earnings. Further, assume that the market value of EEI's common stock is $11 per share.
Required
a. Determine the number of shares of stock that is outstanding
b. Determine the book value per share.
c. Provide a rational explanation for the difference between the book value per share and the market value per share of EEl's common stock.
Business
1 answer:
Arte-miy333 [17]3 years ago
7 0

Answer:

a. Determine the number of shares of stock that is outstanding

outstanding shares = 300,000 - 50,000 = 250,000 outstanding stocks

b. Determine the book value per share.

total stockholder equity = $700,000 + $1,550,000 = $2,250,000

book value per stock = $2,250,000 / 250,000 stocks = $9 per stock

c. Provide a rational explanation for the difference between the book value per share and the market value per share of EEl's common stock.

Several things might explain why the book value of a company differs from its market value: the company's operating model, e.g. Amazon's book value is much lower than its FMV, but the expected future profits of Amazon are huge. It also depends on the assets or liabilities that the company might have, e.g. if the company owns a lot of land or other fixed assets reported at cost which might be much lower than FMV. Other factors include the company's positive attributes, its industry, etc.

Explanation:

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Which of the following is not true concerning the usage of public land. a. Public land is managed by federal and state agencies.
tekilochka [14]

Answer: The correct answer is "b. Unprotected lands exist inside federal parks.".

Explanation: The statement "Unprotected lands exist inside federal parks" is NOT TRUE concerning the usage of public land because there are no unprotected lands within federal parks.

5 0
3 years ago
Read 2 more answers
Four hospitals are located within a city at coordinate points P1=(10,20), P2=(14,12), P3=(8,4) and P4=(32,6). The hospitals are
Illusion [34]

Answer:

The coordinates of the location of the Blood bank = ( 20.7826, 9.73913 )

Explanation:

Coordinates of the Four(4) hospitals are

P1=(10,20),   P2=(14,12),   P3=(8,4) and   P4=(32,6)

Number of deliveries to be made each year for each hospital respectively:

450,   1200,    300, and 1500

conditions :

(i) if travel is rectilinear in the city

(ii) if travel is measured in Euclidean distance.

<u>Determine where the Blood bank is to located to minimize weighted distance travelled each year </u>

find the values of the below variables :

Total load of the Hospitals( ∑load ) = 450 + 1200 + 300 + 1500 = 3450

Lx = ∑x * load = ∑ 10*450 + -------- + 32*1500 = 71700

Ly = ∑y * load = ∑ 20*450 +--------- + 6*1500 = 33600

The coordinates of the Blood bank = [ ( Lx / ( ∑load ) ) ,  Ly /  ( ∑load ) ]

                                                          =[ (71700/3450) , (33600/3450) ]

Hence The coordinates of the  location of the Blood bank = ( 20.7826, 9.73913 )

6 0
3 years ago
Describe one technology used to travel to space and one technology used to return from space
bagirrra123 [75]
One technology used to travel to space is a spacecraft. It is a vehicle or machine designed to fly in outer space. One technology used to return from space is a capsule. Astronauts occupy the capsule and as it goes down, the capsule performs systematic processes for a safe landing.
7 0
3 years ago
Rescooperate Ice Cream Shop recently analyzed their books. They found that in the past year, they made $100,000 selling ice crea
kherson [118]

Answer:

A. profit.

Explanation:

We know,

Net Income (profit) = Sales revenue - the cost of goods sold and operating expenses

Here,

The Ice Cream shop made $100,000 on sales revenue. However, the expenses of the shop include supplies and factory space, i.e., rent expense is $75,000.

Therefore, Net Income (profit) = $100,000 - $75,000 = $25,000

Since the sales revenue exceeds the expenses, the company gets a profit. So, <em>option A</em> is the answer.

7 0
3 years ago
Dicer uses the conventional retail method to determine its ending inventory at cost. Assume the beginning inventory at cost (ret
mestny [16]

Answer:

$371,228

Explanation:

Cost = Beginning inventory + purchases + freight

        = $260,000 + $1,370,000 + $86,000

        = $1,716,000

Retail = Beginning inventory + purchases + mark-up

          = $396,000 + $2,200,000 + $48,000

          = $2,644,000

Closing (retail) = Retail - markdown - sales

                        = $2,644,000 - $72,000 - $2,000,000

                        = $572,000

Cost to retail ratio = Cost ÷ Retail

                              = $1,716,000 ÷ $2,644,000

                              = 0.649017

Therefore,

Ending inventory value at cost = Closing (retail) × Cost to retail ratio

                                                   = $572,000 × 0.649

                                                   = $371,228

8 0
3 years ago
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