Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Z Space, Incorporated, is a new company and currently has negative earnings. The company's sales are $2.35 million and there are 180,000 shares outstanding. a.

image text in transcribed
Z Space, Incorporated, is a new company and currently has negative earnings. The company's sales are $2.35 million and there are 180,000 shares outstanding. a. If the benchmark price-sales ratio for the company is 4.5 , how much will you pay for the stock? Note: Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16 . b. If the benchmark price-sales ratio for the company is 3.9 , how much will you pay for the stock? Note: Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Adventure Capitalist The Ultimate Road Trip

Authors: Jim Rogers

1st Edition

0375509127, 978-0375509124

More Books

Students also viewed these Finance questions