Market Value versus Book Value Muffin's Masonry, Inc.'s, balance sheet lists net fixed assets as $14 million.

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Market Value versus Book Value Muffin's Masonry, Inc.'s, balance sheet lists net fixed assets as $14 million. The fixed assets could currently be sold for $19 million. Muffin's current balance sheet shows current liabili- ties of $5.5 million and net working capital of $4.5 million. If all the cur- rent accounts were liquidated today, the company would receive $7.25 million cash after paying the $5.5 million in current liabilities. What is the book value of Muffin's Masonry's assets today? What is the market value of these assets? (LG2)

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Finance Applications And Theory

ISBN: 9780073530673

2nd Edition

Authors: Marcia Cornett, Troy Adair, John Nofsinger

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