The Market Value of a Share of Stock Is Determined

question 106

Multiple Choice

The market value of a share of stock is determined by

• A) dividing total assets by the number of outstanding shares.
• B) stockbrokers' opinions and ratings.
• C) dividing total shareholders' equity by the number of outstanding shares.
• D) what buyers are willing to pay for the shares.
• E) dividing net profit by the number of outstanding shares.

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Definitions:

Tariffs

Taxes on imported goods, implemented by a government to protect domestic industries from foreign competition or to generate revenue.

Textiles

Materials made from fibers, filaments, threads, or yarns, suitable for use in the production of fabrics and other goods.

Price Of Labor

Refers to the wage rate, or the amount of compensation workers receive in exchange for their labor.

Sri Lanka

An island country in South Asia, located in the Indian Ocean southwest of the Bay of Bengal and southeast of the Arabian Sea.