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 $ 24.4 billion, 3.9 billion shares outstanding, and a market price of

In early 2015, Ford Motor (F) had a book value of equity of $ 24.4 billion, 3.9 billion shares outstanding, and a market price of $ 15.66 per share. Ford also had cash of $ 21.5 billion, and total debt of $ 117.6 billion. Three years later, in early 2018, Ford had a book value of equity of $ 34.9 billion, 10.3 billion shares outstanding with a market price of $ 11.77 per share, cash of $ 26.1 billion, and total debt of $ 154.7 billion. Over this period, what was the change in Ford's a. Over the 3-year period, what was the change in Ford's market capitalization? b. Over the 3-year period, what was the change in market-to-book ratio? c. Over the 3-year period, what was the change in enterprisevalue?

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

Property Finance

Authors: David Isaac

2nd Edition

0333987144, 978-0333987148

More Books

Students also viewed these Finance questions

Question

Write formal proposal requests.

Answered: 1 week ago

Question

Write an effective news release.

Answered: 1 week ago

Question

Identify the different types of proposals.

Answered: 1 week ago