Enscoe Enterprises, Incorporated (EEI) has 220,000 shares authorized, 170,000 shares issued, and 30,000 shares of treasury stock. At this point, EEI has $1,250,000 of assets. $270,000 liabilities, $400,000 of common stock, and $580,000 of retained earnings. Further, assume that the market value of EEI's common stock is $9 per share.

Required

a. Determine the number of shares of stock that is outstanding.

b. Determine the book value per share.

c. Provide a rational explanation for the difference between the book value per share and the market value per share of EEI's common stock.

A:

B:

C:

Enscoe Enterprises, Incorporated (EEI) has 220,000 shares authorized, 170,000 shares issued, and 30,000 shares of treasury stock. At this point, EEI has $1,250,000 of assets. $270,000 liabilities, $400,000 of common stock, and $580,000 of retained earnings. Further, assume that the market value of EEI's common stock is $9 per share. Required a. Determine the number of shares of stock that is outstanding. b. Determine the book value per share. c. Provide a rational explanation for the difference between the book value per share and the market value per share of EEl's common stock. Complete this question by entering your answers in the tabs below. Determine the number of shares of stock that is outstanding. Exercise 11-4A (Algo) Capital stock authorized, issued, and outstanding LO 11-2 Enscoe Enterprises, Incorporated (EEI) has 220,000 shares authorized, 170,000 shares issued, and 30,000 shares of treasury stock, At this point, EEl has $1,250,000 of assets. $270,000 llabilities, $400,000 of common stock, and $580,000 of retained earnings. Further. assume that the market value of EEis common stock is $9 per share. Required a. Determine the number of shares of stock that is outstanding. b. Determine the book value per share. c. Provide a rational explanation for the difference between the book value per share and the market value per share of EEis common stock Complete this question by entering your answers in the tabs below. Determine the book value per share. Required A Required B Required C Provlde a rational expianation for the difference between the book value per share and the market value per share of EEis' common stock. \begin{tabular}{|l|l|l|l|l|} \hline 1. & Markot value is & & than the book value. & \\ \hline 2. & & is a measure of historical cont, while & is a measure of current values. \\ \hline \end{tabular} Required B