Book Value Per Ordinary Share Is Computed By

question 51

Multiple Choice

Book value per ordinary share is computed by:

• A) Multiplying the number of ordinary shares outstanding times the market price per common share.
• B) Dividing total assets by the number of shares outstanding.
• C) Dividing shareholders' equity applicable to ordinary shares by the number of ordinary shares outstanding.
• D) Multiplying the number of ordinary shares outstanding by par value per share.
• E) Dividing the number of ordinary shares outstanding by shareholders' equity applicable to ordinary shares.

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Definitions:

Rule 10b-5

A regulation under the U.S. Securities Exchange Act of 1934 that addresses fraud and misrepresentation in securities trading, prohibiting deceptive practices.

Securities Exchange Act Of 1934

U.S. legislation governing the secondary trading of securities (stocks, bonds, and debentures) in the financial market, aimed at regulating the exchanges and preventing fraud.

Private Transactions

Private transactions are trades or deals conducted directly between two parties without the involvement of a public exchange or the public eye.

Trading Of Securities

The buying and selling of financial instruments such as stocks, bonds, and derivatives.