A Market Value Balance Sheet Shows Cash of $91,000; Fixed

question 54

Multiple Choice

A market value balance sheet shows cash of $91,000; fixed assets of $327,000, and equity of $418,000.There are 16,000 shares of stock outstanding.The company has declared a dividend of $.82 per share.The stock goes ex-dividend tomorrow.Ignore any tax effects.What will be the firm's market equity value after the dividend is paid?

• A)$372,020
• B)$404,880
• C)$419,560
• D)$418,000
• E)$397,810

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Definitions:

SSR

Sum of Squared Regression, a statistical measure that represents the total dispersion of observed values from the predicted values in a regression analysis.

SSE

Sum of Squared Errors, a measure used in statistics to quantify the discrepancy between the data and an estimation model.

MSR

Mean Square Regression, indicating the average of squared differences between the observed and predicted values in regression analysis.

Observations

Data collected or measured during a study, experiment, or survey.