1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Pani-rosa [81]
3 years ago
15

You are given the following information: Stockholders' equity as reported on the firm’s balance sheet = $4 billion, price/earnin

gs ratio = 20.5, common shares outstanding = 60 million, and market/book ratio = 1.7. The firm's market value of total debt is $8 billion; the firm has cash and equivalents totaling $320 million; and the firm's EBITDA equals $1 billion.
What is the price of a share of the company's common stock? Do not round intermediate calculations. Round your answer to the nearest cent. $

What is the firm's EV/EBITDA? Do not round intermediate calculations. Round your answer to two decimal places.
Business
1 answer:
Mazyrski [523]3 years ago
8 0

Answer:

Explanation:

1. Shareholder's Equity = 4 billion

shares outstanding = 60 million

Book value/ share = 4000/60 = $66.66/ share

Market value / Book Value = 1.7

Market value of stock = 1.7*66.6=$113.22

2. EBITDA or earnings before interest, taxes, depreciation and amortization

Enterprise value (EV) = Market value of equity . + Market value of debt. - Cash =4bill + 8bill - 320million

=12 billion -320 million

=1.168 billion

You might be interested in
ampara Corporation manufactures two styles of lamps long dash Bedford Lamp and Lowell Lamp. The following per unit data are​ ava
zhenek [66]

Answer:

The $ 4 per machine hour is the contribution margin per machine hour for the Lowell​ Lamp.

Explanation:

Since in the question two lamps : Bed-ford lamp and Lowell lamp information is given .

Based on the information mentioned in the question, First we have to calculate the contribution margin per unit. Than we are able to calculate contribution margin per hour.

The computation for Lowell Lamp is given below

The contribution margin per unit = Sales per unit - variable cost per unit

                                                      = $38 - $22

                                                      = $16 per unit

Since, contribution margin per unit is  $16 per unit. So, now we calculate contribution margin per machine hour  which is equals to

Contribution margin ÷ machine hours for Lowell lamp

$16 per unit ÷ 4

= $ 4 per machine hour

Thus, the $ 4 per machine hour is the contribution margin per machine hour for the Lowell​ Lamp.

8 0
3 years ago
Question 13 of 20
____ [38]

\:\huge\mathbb\red{Answer}

Option A is the correct answer

4 0
2 years ago
Jane ran 23/10 miles. what is this fraction as a mixed number
scoray [572]
2 3/10 miles is the answer.
7 0
3 years ago
Read 2 more answers
Could I Industries just paid a dividend of $1.62 per share. The dividends are expected to grow at a rate of 20 percent for the n
nata0808 [166]

Answer:

Explanation:

Using the dividend growth model = Do(1+g)/Ke-g

Do=1.62$

G=4%

Ke=12%

Do(1+g)/Ke-g  =  2.0736(1+4%)/12%-4%

                      =   1.6848

/8%

                      =   53.916

                 Year Year Year Year Year  

                    0             1             2           3            4  

                          20%  20%  20% 20%  

Dividend             1        1.2      1.44  1.728 2.0736  

Ifninty dividend                                               55.91*  

Total Cashflows 1    1.2     1.44         1.728 55.98  

Pres.Val @12%    1     1.07142 1.14795  1.22995   35.583

     

Value of stock 40.030    

4 0
3 years ago
Kayleigh is looking over a number of material requisition slips from her employees. She has to sign off on each request after re
dedylja [7]

Answer:

B. No, approval by an individual other than the requestor establishes greater accountability over inventory.

Explanation:

This step is required as it will ensure control over inventory usage.

3 0
3 years ago
Other questions:
  • A ___________________ arrangement exists when medical care providers are paid according to the services they provide.
    12·1 answer
  • An accountant has been engaged to compile the financial statements of a nonissuer. The financial statements contain many departu
    12·1 answer
  • What are the short-run economic effects when u.s. firms substitute labor outside of the u.s. for labor inside the u.s.?
    15·1 answer
  • Matt and Meg Comer are married and file a joint tax return. They do not have any children. Matt works as a history professor at
    8·1 answer
  • The difference between a merger and an acquisition is: Select one: a. That a merger involves one company purchasing the assets o
    6·2 answers
  • Based on this knowledge, the CEO of U.S. Builders asked his administrative assistant to talk with Teresa and tell her that takin
    11·1 answer
  • Which of the following describes a person's financial debt or obligation?
    13·2 answers
  • At the end of June, the Marquess Company factored $200,000 in accounts receivable with Homemark Finance. Homemark immediately re
    10·1 answer
  • One key difference between an oligopoly market and a competitive market is that oligopolistic firms.
    8·1 answer
  • brian is struggling with the choice of publishing his new book, how to cook polish barbeque, as an e-book or a paperback. brian
    8·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!