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So I have all the equations and answers for this problem except for the Average method. I am confused because I research it online and

So I have all the equations and answers for this problem except for the Average method. I am confused because I research it online and the "average method" itself does not pop up. There are types of average methods, but not straight up an average method.

Complete the following corporate valuation methods (five) based on the following data:

Input Data

Shareholders' Equity (SE) $1,500,000

Net Income (NI) $850,000

Stock Price (SP) $50

EPS $4

No. of outstanding shares $300,000,000

Goodwill $100,000

Intangibles $75,000

Total Assets $3,000,000

Net Worth Method

Net Worth = TA- Liability = 3,000,000-1,5000,000=$15,000,000

Net Income Method- Given in the data = $850,000

Price/Earnings Ratio Method= SP/EPS= 12.5

Outstanding Shares Method = 3,000,000

Average Method ?????????

2. Determine, recommend and defend the best corporate evaluation method. Identify any concerns that you have about these methods

3. As a future decision maker concerned about either selling or purchasing companies, explain why is it important to have a reasonable knowledge of what the firm is worth.Besides these methods, what else could a decision maker do to obtain other data points on corporate worth on assets?

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