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Assets Liabilities Current Liabilities Current Assets 38 Cash Accounts receivable Inventories Total current assets 6 45 23 15 83 Accounts payable Notes payable/short term debt
Assets Liabilities Current Liabilities Current Assets 38 Cash Accounts receivable Inventories Total current assets 6 45 23 15 83 Accounts payable Notes payable/short term debt Total current liabilities 44 Long-Term Assets Long-Term Liabilities 127 132 Net property, plant, and equipment Total long-term assets Long-term debt Total long-term liabilities 127 132 Total liabilities Stockholders' Equity Total liabilities and stockholders' Equity 176 34 210 Total assets. 210 The above diagram shows a balance sheet for a certain company. All quantities shown are in millions of dollars. If the company has 4 million shares outstanding, and these shares are trading at a price of $8.49 per share, what does this tell you about how investors view this firm's book value? A. Investors consider that the firm's market value is worth more than its book value. B. Investors consider that the firm's market value is worth less than its book value. OC. Investors consider that the firm's market value is worth very much less than its book value. D. Investors consider that the firm's market value and its book value are roughly equivalent
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