Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

In early 2015, Ford Motor (F) had a book value of equity of $24.6 billion, 3.9 billion shares outstanding, and a market price of $15.53

image text in transcribed

In early 2015, Ford Motor (F) had a book value of equity of $24.6 billion, 3.9 billion shares outstanding, and a market price of $15.53 per share. Ford also had cash of $21.4 billion, and total debt of $118.8 billion. Three years later, in early 2018, Ford had a book value of equity of $34.5 billion, 10.7 billion shares outstanding with a market price of $11.36 per share, cash of $26.6 billion, and total debt of $155.4 billion. Over this period, what was the change in Ford's a. market capitalization? b. market-to-book ratio? c. enterprise value? a. Over the 3-year period, what was the change in Ford's market capitalization? The change in Ford's market capitalization was $ billion. (Round to two decimal places.) b. Over the 3-year period, what was the change in Ford's market-to-book ratio? The change in Ford's market-to-book ratio was (Round to two decimal places.) c. Over the 3-year period, what was the change in Ford's enterprise value? The change in Ford's enterprise value was $ billion. (Round to two decimal places.)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Millionaire By Thirty The Quickest Path To Early Financial Independence

Authors: Douglas R. Andrew, Emron Andrew, Aaron Andrew

1st Edition

0446501840, 978-0446501842

More Books

Students also viewed these Finance questions