What Is the Book Value Per Share for a Firm

question 43

Multiple Choice

What is the book value per share for a firm with 2 million shares outstanding at a price of $50,a market-to-book ratio of 0.75,and a dividend-payout ratio of 50%?

• A) $33.33
• B) $37.50
• C) $62.50
• D) $66.67

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Definitions:

Pizzas

A popular dish made from yeasted flatbread typically topped with tomato sauce, cheese, and various toppings and then baked.

Mutual Gains

A situation or outcome in negotiation or economics where all parties involved benefit or profit.

International Trade

The exchange of goods, services, and capital across international borders or territories.

Inflationary

Related to or indicative of the increase in prices of goods and services over time, leading to a decrease in the purchasing power of money.