Answer:
$45 million
Explanation:
Data provided in the question:
Book value of assets = $940 million
Market value of assets = $985 million
Book value of liabilities = $900 million
Market value of liabilities = $930 million
off-balance-sheet assets = $150 million
Off-balance-sheet liabilities = $160 million
Now,
Stockholders Net worth
= Market value of assets + Off balance sheet assets - Market value of liabilities - Off balance sheet liabilities
= $985 million + $150 million - $930 million - $160 million
= $45 million
Answer:
It means that 50,000 dollars was made in 2018
Explanation:
Answer:
The un levered beta ( bu) of the company is 1.52
Explanation:
Given information -
Equity (E) - $20 million
Debt (D) - $5 million
Beta ( levered ) - 1.75
Tax rate ( T ) = 40%
D / E ( Debt to Equity ratio ) = $ 5 million / $20 million = .25
Formula for taking out un levered beta ( bu) is -
Beta levered ( bl ) = Beta un levered ( bu ) [1 + (1 - T ) D / E ]
1.75 = bu [1 + (1 - 40% ) .25
1.75 = bu [1 + .6 x .25 ]
1.75 = bu [ 1 + .15 ]
1.75 = bu [ 1.15 ]
bu = 1.75 / 1.15
bu = 1.52
The definition of money supply which include only items which are directly and immediately usable as medium of exchange is M1. Money supply refers to the entire stock of currency and other liquid assets that are circulating in a particular economy at a particular period of time.
M1 include cash and checking deposits which are very liquid in nature and are suitable as medium of exchange.
