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What is book value, market capitalization and enterprise value? Discuss why a firm's book value may differ significantly from its market capitalization or enterprise value

  1. What is book value, market capitalization and enterprise value? Discuss why a firm's book value may differ significantly from its market capitalization or enterprise value Identify 3-4 factors that could cause the market cap to greatly exceed book value. How or why should book value impact the valuation of a firm? When might you use book value as a measure of a firm's value? Discuss how balance sheets items could affect your valuation of a firm. Provide examples.

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Definitions 1 Book Value Definition Book value is the value of a companys assets minus its liabilities as recorded on its balance sheet It represents the net asset value of a firm based on historical ... blur-text-image

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