Find the book value and market value of the firm

Assignment Help Financial Accounting
Reference no: EM1310011

The founder of ALchemy Products, inc, discovered a way to turn lead onto gold and patented this new technology. He then formed a corporation and invested $200,000 in setting up a production plant. He believes that he could sell his patent for $50 million.

a. What are the book value and market value of the firm?
b. If there are 2 million shares of stock in the new corporation, what would be the price per share and the book value per share?

Reference no: EM1310011

Questions Cloud

Determine the dividends paid by the firm in 2009 : here were no stock repurchases during the year. Determine the dividends paid by the firm in 2009?
Finding total applied overhead : Crown Industries has the following information about its standards and production activity for December-Assume the allocation base for fixed overhead costs is the number of units to be produced.
Monitor the performance of her team members : Leslie has a busy schedule; also it is not possible for her to monitor the performance of her team members sitting on a dissimilar ground.
What range of speeds can a car safely make the curve : A female gymnast weighs 620 N. If she is hanging stationary from a high bar, how many forces are acting on her.
Find the book value and market value of the firm : Find the book value and market value of the firm  and If there are 2 million shares of stock in the new corporation, what would be the price per share and the book value per share?
Illustrate the bible forbid borrowing overall : Illustrate the Bible forbid borrowing overall. If it is not when is it permissible to borrow money.
How high above the water is pier : A person eats a dessert that contains 230 kcal. The skin temperature of this individual is 36° C and that of her environment is 21° C. The emissivity of her skin is 0.85 and its surface area is 1.3 m2. How much time would it take for her to emit the ..
Evaluate also contrast evaluation : When looking at each page of company Facebook use the same criteria to evaluate each of them, which will assist with the Evaluate also contrast evaluation.
Study of drug condition : Other than drug condition, the participants are treated similarly. This study:

Reviews

Write a Review

Financial Accounting Questions & Answers

  Analyze the accounting needs for the business combination

Analyze the accounting needs for the business combination technique you selected. Prepare related financial statements for the date of acquisition.

  Analyze reporting needs for private sector

Prepare a merchandise purchases budget for the months of JUL

  Prepare all journal entries jensen company

Prepare all journal entries required through June to record the above transactions and events.

  Purpose the bank reconciliation

Purpose the bank reconciliation at 30 th September, 2012. Purpose the adjusting entries at September 30, consider the NSF check was from a customer on account, and no interest had been accrued on the note.

  Observe the budget and currency calculations of student

For your response discussion need, critically observe the budget and currency calculations of another student.

  Capital structure and ratio analysis

Investigate how the concepts of dividend policy, cost of capital, and other aspects of corporate financial management theory learned in this course affect the financial profile of the firm your group has selected.

  Evaluate the new breakeven point in trades

Use the income statement equation approach to evaluate the dollar revenues needed to earn a target monthly operating income of $12,600. Evaluate the new breakeven point in trades. How does this affect the breakeven point?

  Financial statements vs. the financial reporting framework

Explain the Financial statements vs. the financial reporting framework

  Evaluate the net present value

Evaluate the net present value. (Negative amount should be shown by a minus sign. Round discount factor(s) to 3 decimal places, other intermediate evaluations and final answer to the nearest whole dollar.)

  Analyze weaknesses and financial strengths of the company

Analyzing the weaknesses and financial strengths of the company

  Purpose consolidation worksheet for crain

Prepare consolidation worksheet for Crain and Downey at December 31, 2005.

  How you thinkbanks are or are not ripping off pension funds

Analyze and describe how you think big banks are or are not ripping off pension funds. Support your response with examples and evidence.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd