The replacement value of cornwallis

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1. Cornwallis Company has replacement value assets of 100 and liabilities of 65. The replacement value of Cornwallis is

a. 100 b. 65 c. 35 d. none

2. Essex Corporation is planning an equity issue to finance a new product. Essex plans to issue 100,000 shares of stock. Projected EPS after completion of the project is $12 and the total shares outstanding will be 200,000. What are the projected after-tax earnings after completion of the project?

a. $2 mil b. $2.4 mil c. $2.6 mil d. none

3. Dusty Company is planning an equity issue to finance a new product. Dusty plans to issue 100,000 shares of stock. Projected EPS after completion of the project is $10 and the total shares outstanding will be 200,000. What are the projected after-tax earnings after completion of the project?

a. $1 mil b. $2 mil c. $3 mil d. $4 mil

Reference no: EM131962236

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