Question Help What was the change in Global Conglomerate's book value of equity from 2017 to 2018 according to Table 2.1 ? Does this imply that the market price of Global's shares increased in 2018? Explain. (Select all the choices that apply.) A. Global Conglomerate's book value of equity increased by $1 million from 2017 to 2018. An increase in book value does not necessarily indicate an increase in Global's share price. B. The market value of a stock does not depend on the historical cost of the firm's assets, but on investors' expectation ohne firm's future performance. There are many events that may affect Global's future proftability, and hence its share price, that do not show up on the balance sheet C. The market value of a stock depends on both the historical cost of the firm's assets and investors' expectation of the firm's future performance, There are many events that may affect Global's future profitability, and hence its share price, that do not show up on the balance sheet. D. Global Conglomerate's book value of equity increased by $1 million from 2017 to 2018. An increase in book value necessarily indicates an increase in Global's share price Question Data Table X nang ty that t shall oice A angli an in necess et v ce hee arm's ful up on et v ma Suture pe ance sh ng! rily indic GLOBAL CONGLOMERATE CORPORATION Consolidated Balance Sheet Year Ended December 31 (in $ million) Assets 2018 2017 Current Assets Cash 21.2 19.5 Accounts receivable 18.5 13.2 Inventories 15.3 14.3 Other current assets 2.0 1.0 Total current assets 57.0 48.0 Long-Term Assets Land 222 20.7 Buildings 36.5 30.5 Equipment 39.7 332 Less accumulated depreciation -18.7 -17.5 Net property, plant, and equipment 79.7 66.9 Goodwill and intangible assets 20.0 20.0 Other long-term assets 21.0 14.0 Total long-term assets 120.7 100.9 Total Assets 177.7 148.9 Liabilities and Stockholders' Equity Data Table g 21.0 120.7 177.7 14.0 100.9 148.9 V 29.2 3.5 13.3 2.0 Other long-term assets Total long-term assets Total Assets Liabilities and Stockholders' Equity Current Liabilities Accounts payable Notes payable/short-term debt Current maturities of long-term debt Other current liabilities Total current liabilities Long-Term Liabilities Long-term debt Capital lease obligations Total debt Deferred taxes Other long-term liabilities Total long-term liabilities Total Liabilities Stockholders' Equity Total Liabilities and Stockholders' Equity 24.5 3.2 12.3 4.0 44.0 48.0 99.9 0.0 99.9 7.6 0.0 107.5 155.5 22.2 177.7 76.3 0.0 76.3 7.4 0.0 83.7 127.7 21.2 148.9 Print Done
