Question
Based on the corporate valuation model, the value of Greshak Ltd.'s operations is $2,400 million. The company's balance sheet shows $140 million in accounts receivable,
Based on the corporate valuation model, the value of Greshak Ltd.'s operations is $2,400 million. The company's balance sheet shows $140 million in accounts receivable, $160 million in inventory, and $175 million in short-term investments that are unrelated to its operations. The balance sheet also shows $190 million in spontaneous liabilities, $110 million in notes payable, $550 million in long-term debt, $60 million in preferred stock, $680 million in retained earnings, and $900 million in total common equity. If the company has 35 million shares of stock outstanding, what is the best estimate of the stock's price per share?
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