All the Statements Concerning Net Tangible Asset Backing (NTAB)per Share $\bold{except:}$

question 4

Multiple Choice

All the statements concerning net tangible asset backing (NTAB) per share are true, $\bold{except:}$

• A)intangible assets such as goodwill are excluded from the calculation
• B)it calculates the cash that would be available to each shareholder if the company was liquidated.
• C)the difference between NTAB and the market price of the share is an indication of the market's assessment of the entity's future growth prospects.
• D)it is calculated as ordinary shareholders' equity less intangible assets divided by number of ordinary shares on issue at year-end.

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Definitions:

Operating Coalition

A temporary alliance formed for the purpose of achieving a particular goal or undertaking a specific task.

High Agreement

A situation or condition where there is significant consensus or concurrence among parties on a particular issue or set of issues.

Vision Or Objectives

Long-term goals or targets that an organization or individual aims to achieve, often guiding decision-making and strategies.

Strength-Is-Weakness Dynamic

A negotiation concept where a party's apparent strengths can be leveraged as weaknesses or vulnerabilities under certain conditions.