Market Value Ratios Fancy Paws' Year-End Price on Its Common

question 83

Multiple Choice

Market Value Ratios Fancy Paws' year-end price on its common stock is $20. The firm has total assets of $40 million, the debt ratio is 40%, there is no preferred stock, and there are 2 million shares of common stock outstanding. Calculate the market-to-book ratio for Fancy Paws.

• A) 0.47
• B) 1.67
• C) 8.00
• D) 10.00

---

Definitions:

Shipping Term

Conditions included in a contract that define the responsibilities, costs, and risks involved in the delivery of goods from the seller to the buyer.

Free Alongside

In shipping, a term indicating that the seller is responsible for the cost of transporting goods to a designated point next to a vessel before loading.

Piracy

is the unauthorized use or reproduction of another's work, often relating to copyright infringement, especially in the context of software, music, and movies.

Registered Ships

Vessels that are officially listed with a specific country's registry to identify the nation of registration and ensure compliance with that nation's laws and regulations.