Ask Question
BusinessBusiness
10 October, 23:22

Amber Devices Ltd. has total assets worth $900 million and total liabilities worth $475 million at the end of December 31. What is the amount of money received by the stockholders, if Amber liquidates all of its assets for $850 and pays off all of its outstanding debt at book value?

+1
Answers (1)
  1. 10 October, 23:38
    0
    The current total assets of Amber devices are $900 million

    IF they sell all their assets for 850 million they will have 850 million in cash. From this cash they have to pay their liabilities first, so

    850 million - 475 million = 375 million

    The book value of the liabilities was 475 million and because Amber devices pays of all its outstanding debt at book value, the remaining cash left for the stock holders is 375 million

    The stock holder receive $375 million after liquidation of assets and payment of debt.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “Amber Devices Ltd. has total assets worth $900 million and total liabilities worth $475 million at the end of December 31. What is the ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers
You Might be Interested in
When using normal costing, the total production cost of a job is composed of: (A) direct material and direct labor. (B) direct material, direct labor, manufacturing overhead, and outlays for selling costs.
Answers (2)
Someone may choose to own a car instead of leasing because: A The car can be resold later to make some money back. B The car can be resold later for a higher price. C The maintenance costs for a leased car are generally higher.
Answers (1)
What do people mean when they say that it is better to balance the economy than to balance the budget?
Answers (1)
List price is another term for A retail price B wholesale price C discount price D net price
Answers (1)
Jack rents rooms in his hotel for an average of $100 per night. The variable cost per rented room is $20, to cover maid service and utilities. His fixed costs are $100,000 and his profit last year was $20,000.
Answers (1)
New Questions in Business
One of the causes of the financial crisis of 2008 was the connectedness of financial institutions, where financial assets for one firm are often debt for other financial institutions.
Answers (1)
SL Energy has $500,000 invested in a 2-stock portfolio. $250,000 is invested in Potts Manufacturing and the remainder is invested in Stohs Corporation. Potts' beta is 2.0 and Stohs' beta is 0.8. What is the portfolio's beta? the portfolio's beta?
Answers (1)
Calculate the future value of an account after you've contributed $1 comma 050 at the end of each year for 40 years assuming you can earn 6.00 percent compounded annually, and that you don't make a withdrawal during the 40-year period.
Answers (1)
A nut store normally sells cashews for $4.00 per pound and peanuts for $1.50 per pound. But at the end of the month the peanuts had not sold well, so, in order to sell 40 pounds of peanuts, the manager decided to mix the 40 pounds of peanuts with
Answers (1)
The Bolen Company forecasts that total overhead for the current year will be $8,000,000 and that total machine hours will be 200,000 hours. Year to date, the actual overhead is $10,000,000 and the actual machine hours are 80,000 hours.
Answers (1)
Home » Business » Amber Devices Ltd. has total assets worth $900 million and total liabilities worth $475 million at the end of December 31.
Sign Up Forgot Password?