Dell Technologiesshares soared in late trading afterThe Wall Street Journal reportedthat the company has hired advisors to consider options for the company's 81% stake in the enterprise-software companyVMware.

A transaction would be

intended to address the valuation disparity between Dell and its large VMware

(VMW) holding. Dell closed Tuesday's regular session with an equity-market

valuation of about $36 billion; its VMware stake at the close was worth about

$50.6 billion.

Dell has about $48.3 billion

in long-term debt, much of it dating back to the company's $67 billion

acquisition of EMC in 2016. Dell also holds an 86% stake

inSecureWorks(SCWX), a position worth about $810 million.

In late trading, Dell shares

had spiked 18.6%, to $58.14. VMware shares jumped 9.1%, to $162.73.

Questions:

1) How much is the value of

Dell's holding in VM Ware?

2) What is value of Dell as a

corporation? (Use market value of equity and book value of debt if you cannot

find market value of debt).

3) Based on your estimate in

(1) and (2) what is the value of Dell as a stand alone business (not counting

its holding of VM Ware)?

4) What are some of the

reasons for this low valuation for Dell as a stand alone company?