Reservoir Bottling Company reported the following information at the end of the year. Total current assets are

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Reservoir Bottling Company reported the following information at the end of the year. Total current assets are worth $237,513 at book value and $219,344 at market value. In addition, plant and equipment has a market value of $343,222 and a book value of $362,145. The company’s total current liabilities are valued at market for $134,889 and have a book value of $129,175. Both the book value and the market value of long-term debt is $144,000. If the company’s total assets have a market value of $562,566 and a book value of $599,658, what is the difference between the book value and market value of its stockholders’ equity?

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Fundamentals of corporate finance

ISBN: 978-0470876442

2nd Edition

Authors: Robert Parrino, David S. Kidwell, Thomas W. Bates

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