Shown Below Is Information Relating to the Shareholders' Equity of Reeve

question 99

Multiple Choice

Shown below is information relating to the shareholders' equity of Reeve Corporation as of December 31, 2009:
$\begin{array}{lr}8 \% \text { non-cumulative preference share, } \$ 100 \text { par } & \$ 600,000 \\\text { Ordinary shares, } \$ 10 \text { par, } 500,000 \text { shares authorized, } 120,000 \text { shares issued } & 1,200,000 \\\text { and outstanding } &\\\text { Share premium: ordinary share } & 600,000 \\\text { Retained earnings (Deficit) } & (60,000) \end{array}$



-Refer to the above data. Book value per share of ordinary shares (rounded to the nearest penny) is:

• A) $30.20 per share.
• B) $29.00 per share.
• C) $31.80 per share.
• D) $38.20 per share.

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Definitions:

Market Shares

The portion of a market controlled by a particular company, indicated as a percentage of total sales in the industry.

Hypothetical Industries

Hypothetical industries are theoretical or imaginary sectors created for the purpose of analysis or illustration, often used in economic models or educational contexts.

Buyer-Seller Relationships

Interactions and exchanges between buyers and sellers, which can range from transactional to collaborative partnerships.

Corporate Merger

The process by which two or more companies join together to form a single company, often to achieve economies of scale, expand market share, or reduce competition.