What Is the Current Price of a Share of Stock

question 64

Multiple Choice

What is the current price of a share of stock for a firm with $5 million in balance-sheet equity, 500,000 shares of stock outstanding, and a price/book value ratio of 4? (Use values in dollars)

• A)$2.50
• B)$10.00
• C)$20.00
• D)$40.00

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