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Vanyuwa [196]
3 years ago
5

Perhaps the best method for estimating the market value of shareholders' equity is to: _____________

Business
1 answer:
kupik [55]3 years ago
4 0

Answer:

C.multiply number of shares outstanding by the price of each share

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3 0
3 years ago
Oriole Inc. has completed the purchase of new Dell computers. The fair value of the equipment is $890,082. The purchase agreemen
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Answer:

  • Annual rate = 8%
  • Semiannual rate = 4%

Explanation:

The present value of the amount that is to be paid periodically:

= Fair value - Down payment

= 890,082 - 216,000

= $674,082

This is a semi annual payment so the variables need to be converted as such:

Period = 5 years * 2 = 10 semi annual periods

This payment is constant so it is an annuity.

Present value of annuity = Annuity * Present value interest factor, 10 periods, x percent

674,082 = 83,108 *  Present value interest factor, 10 periods, x percent

Present value interest factor, 10 periods, x percent = 674,082 / 83,108

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The annual interest rate is therefore:

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