Question
4) Using the Chop Shop approach (or Break-up Value Approach), assign a value for Cranberry Ltd whose stock is current trading at a total Market
4) Using the Chop Shop approach (or Break-up Value Approach), assign a value for Cranberry Ltd whose stock is current trading at a total Market Price of 14 million. For Cranberry Ltd, the accounting data set forth three business segments: Consumer Wholesale Retail and General Centers, Data for The Firms three segments are as follows
| Business Segment | Segment Sales | Segment Assets | Segment Operating Income |
| Wholesale Retail General | 2,25,000 7,20,000 25,00,000 | 7,00,000 6,00,000 40,00,000 | 175,000 2,50,000 7,00,000 |
Industry data for Pure Play Firms have been compiled and are summarized as follows-
| Business Segment | Capitalization / Sales | Capitalization / Assets | Capitalization / Operating Income |
| Wholesale Retail General | 1.85 .20 .80 | 2.70 1.70 2.70 | 9.00 8.00 4.00 |
Question: find The theoretical value of Cranberry Ltd
PLEASE TRY TO ANSWER ME TYPED OR CLEAR FORMAT AS I HAVE PROBLEM IN READING HAND-WRITING. THANKS
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The Board Of Directors And Audit Committee Guide To Fiduciary Responsibilities Ten Critical Steps To Protecting Yourself And Your Organization
Authors: Sheila Moran CPA CFE, Ronald Kral CPA CMA
1st Edition
0814431666, 978-0814431665
