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An Excess of Market Value Over the Book Value of Equity

question 37

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An excess of market value over the book value of equity can be attributed to going concern value.


Definitions:

Pre-tax Cost

The expense or cost associated with an investment or project before any taxes are deducted.

Marginal Tax Rate

The rate at which your last dollar of income is taxed, indicating the percentage of tax applied to your next dollar of taxable income.

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