Balsco's balance sheet shows total assets of $238,000 and total liabilities of $107,000. 11) The firm has 55,000 shares of stock outstanding that sell for $11 a share. What is amount of market value added?

A) $474,000

B) $389,000

C) $1,073,000

D) $123,712

Question

Clinton Bender

Business

25 September, 04:25

Balsco's balance sheet shows total assets of $238,000 and total liabilities of $107,000. 11) The firm has 55,000 shares of stock outstanding that sell for $11 a share. What is amount of market value added?

A) $474,000

B) $389,000

C) $1,073,000

D) $123,712

+1

Answers (1)

Know the Answer?

Willis · Answer 1

A) $474,000

Explanation:

Since Balsco's balance sheet shows total assets of $238,000 and total liabilities of $107,000, it means that equity should be $131,000.

The current price of Balsco's stock is $11 per share and total shares outstanding are 55,000, which results in a total market value of $605,000. If you subtract total equity from the total market value = $605,000 - $131,000 = $474,000

Balsco's balance sheet shows total assets of $238,000 and total liabilities of $107,000. 11) The firm has 55,000 shares of stock outstanding that sell for $11 a share. What is amount of market value added?A) $474,000B) $389,000C) $1,073,000D) $123,712

Balsco's balance sheet shows total assets of $238,000 and total liabilities of $107,000. 11) The firm has 55,000 shares of stock outstanding that sell for $11 a share. What is amount of market value added?

A) $474,000

B) $389,000

C) $1,073,000

D) $123,712