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Darya [45]
3 years ago
9

Bauer Software's current balance sheet shows total common equity of $5,125,000. The company has 530,000 shares of stock outstand

ing, and they sell at a price of $27.50 per share. By how much do the firm's market and book values per share differ?
Business
1 answer:
Mumz [18]3 years ago
5 0

Answer:

The difference is $9,450,000

Explanation:

Market Value of Share = $27.50 x 530,000

                                     =$14,575,000

Book Value  = $5,125,000.

Difference    = $14,575,000- $5,125,000.

                   =$9,450,000

The market value is greater than book value by $9,450,000

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