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 $24.7 billion, 3.8 billion shares outstanding, and a market price of $15.74

image text in transcribed
In early 2015, Ford Motor (F) had a book value of equity of $24.7 billion, 3.8 billion shares outstanding, and a market price of $15.74 per share. Ford also had cash of $21.6 billion, and total debt of $1 17.2 billion. Three years later, in early 2018, Ford had a book value of equity of $35.3 billion, 10.2 billion shares outstanding with a market price of $10.96 per share, cash of $25.1 billion, and total debt of $159.2 billion. Over this period, what was the change in Ford's a. market capitalization? b. market-to-book ratio? c. enterprise value? 3. Over the 3-year period, what was the change in Ford's market capitalization? The change in Ford's market capitalization was $5 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_2

Step: 3

blur-text-image_3

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

Financial Statements

Authors:

1st Edition

1423223853, 9781423223856

More Books

Students also viewed these Accounting questions

Question

2. What do the others in the network want to achieve?

Answered: 1 week ago

Question

1. What do I want to achieve?

Answered: 1 week ago