Use the Following Information to Answer the Question(s)below

question 88

Multiple Choice

Use the following information to answer the question(s) below.
Galt Industries has no debt,total equity capitalization of $600 million,and an equity beta of 1.2.Included in Galt's assets is $90 million in cash and risk-free securities.Assume the risk-free rate is 4% and the market risk premium is 6%.
-Galt's enterprise value is closest to:

• A)$90 million.
• B)$510 million.
• C)$600 million.
• D)$690 million.

---

Definitions:

Epigenetics

The study of heritable changes in gene expression that do not involve alterations to the underlying DNA sequence.

Brain Development

The process involving the growth and maturation of the brain, including the formation and pruning of neurons, throughout a person's life, especially significant in early childhood.

X-linked Inheritance

A pattern of inheritance that is determined by genes located on the X chromosome, affecting traits or conditions more frequently seen in males who have only one X chromosome.

Genetic Counseling

A process that involves discussing the risks of inherited conditions and genetic disorders, typically with a healthcare professional trained in genetics.