A Firm Has 12 Million Shares Outstanding with a Current

question 121

Multiple Choice

A firm has 12 million shares outstanding with a current share price of $8.50.The firm has a market-to-book ratio of 3.55 and a book debt-equity ratio of 0.8.If the firm currently has $4 million in cash,what is its enterprise value?

• A)$121 million
• B)$83 million
• C)$180 million
• D)$102 million
• E)$125 million

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Definitions:

Ottawa Charter

A foundational document from the First International Conference on Health Promotion, dated 1986, that outlines strategies for achieving better health for all.

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Normal Life Span

The average duration of an organism's life, taking into account the range of longevity outliers.

Capacities

The maximum amount that something can contain or the ability to perform, function, or produce.