If Microsoft's Shares Are Trading at $30

question 183

True/False

If Microsoft's shares are trading at $30.00 and there are 3 million shares outstanding,then Microsoft's market capitalization would be $9 million.

---

Definitions:

Activist Investors

Individuals or groups that purchase large numbers of a company's shares with the intention of influencing its management practices, policies, and direction.

Synergy Figures

Quantitative estimations of the benefits expected from a business combination, such as enhanced efficiency or increased market power.

Percentage Premium

The additional amount, expressed as a percentage, that is charged or paid over a certain base amount or value.

Shareholders

Individuals or entities that own one or more shares of stock in a public or private corporation, giving them ownership rights.