Which of the Following Mathematical Expressions Is Used to Compute

question 88

Multiple Choice

Which of the following mathematical expressions is used to compute the book value per share?

• A)Book value per share = Common equity ÷ Total number of shares outstanding
• B)Book value per share = Total shares issued × Per share par value
• C)Book value per share = Current assets - Current liabilities
• D)Book value per share = Total assets ÷ Total number of shares outstanding
• E)Book value per share = Earnings available to common stockholders ÷ Total number of shares outstanding

---

Definitions:

Total Revenue Curve

A graph showing how total revenue changes as the quantity sold of a product or service changes, holding the price constant.

Barriers to Entry

Factors that prevent or hinder companies from entering into a specific market or industry.

Monopolist's Demand Curve

Represents the total market demand faced by a monopolist, indicating how price affects the quantity of output demanded.

Elastic

A term used in economics to describe a situation where the quantity demanded or supplied of a good or service significantly changes in response to a change in price.