In early 2018, Facebook's market/book ratio was close to 7.0. A market/book ratio that much greater than 1.0 for Facebook means that ________.

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Part 1

A.

Facebook's book value is inflated because so many of its assets are intangible

B.

Facebook's stock is overvalued

C.

Facebook has a huge number of common shares outstanding

D.

the book value of Facebook's equity is far less than the total market value of the company's stock