Question
The Holtzman Corporation has assets of $397,000, current liabilities of $87,000, and long-term liabilities of $72,000. There is $36,500 in preferred stock outstanding; 20,000 shares
The Holtzman Corporation has assets of $397,000, current liabilities of $87,000, and long-term liabilities of $72,000. There is $36,500 in preferred stock outstanding; 20,000 shares of common stock have been issued.
a.Compute book value (net worth) per share.(Round to 2 decimal places.)
b.If there is $25,900 in earnings available to common stockholders, and Holtzman's stock has a P/E of 16 times earnings per share, what is the current price of the stock?(Do not round intermediate calculations. Round to 2 decimal places.)
c.What is the ratio of market value per share to book value per share?(Do not round intermediate calculations. Round to 2 decimal places.)
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