Answer:
$59.68 million per share
Explanation:
The computation of stock price per share is shown below:-
Earnings Before Interest , depreciation, taxes and amortization (EBITDA) = Sales - Cost
= $29.8 million - $15.5 million
= $14.3 million
Enterprise Value ÷ EBITDA = 9.3
Hence, Enterprise Value = EBITDA × 9.3
= $14.3 million × 9.3
= $132.99 million
Enterprise Value = Value of Equity + Debt - Cash
or Value of Equity = $132.99 million - $55.8 million + $39.8 million
= $116.99 million
Now,
Stock Price Per share = Value of Equity ÷ Number of Shares Outstanding
= $116.99 million ÷ 1,960,000
= $59.68 million per share