User Account

All Pages

What is epics stock price and book value per share

Assignment Help Corporate Finance
Reference no: EM13892298

Epic Trucking's equity has a market value of $15 million with 700,000 shares outstanding. The book value of its equity is $9 million.

a. What is Epic's stock price per share? What is its book value per share?

b. If the company repurchases 25 percent of its shares in the stock market at their current price, how will this affect the book value of equity if all else remains the same?

c. If there are no taxes or transaction costs, and investors do not change their perceptions of the firm, what should the market value of the firm be after the repurchase?

d. Instead of a share repurchase, the company decides to raise money by selling an additional 20 percent of its shares on the market. If it can issue these additional shares at the current market price, how will this affect the book value of equity if all else remains the same?

Reference no: EM13892298

Questions Cloud

Develop a briefing for a group of c-level corporate : Using current information available on the Internet, develop a briefing for a group of C-level corporate executives at a company of your choice in regard to information security issues inherent in their e-commerce strategies and operations.
Compare policies with regard to expected daily costs : Given the current situation, estimate the probability that on a peak day, at least one faculty member with a sticker will be unable to find a spot - Compare these policies with regard to expected daily costs, expected number of units Short per day..
Importance of email as a marketing tool : The importance of email as a marketing tool cannot be undermined. It is an easy, cheap and very personal way of reaching our customers in their homes, offices and even outdoors through their mobile devices.
How would your means be effective : You are a consultant in a community of around 4,000 people. The city council has asked you to create an anti-litter campaign to assist the clean-up of their community. How would your means be effective
What is epics stock price and book value per share : What is Epic's stock price per share? What is its book value per share? If there are no taxes or transaction costs, and investors do not change their perceptions of the firm.
Relationship between the tools the executive managers : Read the journal article, "Executive Information Systems: Their impact on Executive Decision Making." Based on the information presented in the article, discuss the following: The tools executive managers use when making major decisions and The re..
Derive the overall kinetic expressions for four combinations : Derive the overall kinetic expressions for the four combinations of the two possible initiation steps (1 or 1a) and the termination steps (5 or 6).
Importance to the economic development of a nation : Economic progress within a country seems to depend on how well property rights are protected. Explain the relationship between property rights, corruption, and economic progress and their importance to the economic development of a nation.
Why do federal criminal statutes figure so prominently : Why do federal criminal statutes figure so prominently in the context of white-collar offenses?

Reviews

Write a Review

Corporate Finance Questions & Answers

  Impact of the global economic crisis on business environment

This paper reviews the article of ‘the impact of the global economic crisis on the business environment' that is written by Roman & Sargu (2011).

  Explain the short and the long-run effects on real output

Explain the short and the long-run effects on real output, price, and unemployment

  Examine the requirements for measuring assets

Examine the needs for measuring assets at fair value in accounting standards

  Financial analysis report driven by rigorous ratio analysis

Financial analysis report driven by rigorous ratio analysis

  Calculate the value of the merged company

Calculate the value of the merged company, the gains (losses) to each group of shareholders, NPV of the deal under different payment methods. Synergy remains the same regardless of payment method.

  Stock market project

Select five companies for the purpose of tracking the stock market, preparing research on the companies, and preparing company reports.

  Write paper on financial analysis and business analysis

Write paper on financial analysis and business analysis

  Intermediate finance

Presence of the taxes increase or decrease the value of the firm

  Average price-earnings ratio

What is the value per share of the company's stock

  Determine the financial consequences

Show by calculation the net present value for the three alternatives (no education, network design certification, mba). Also, according to NPV suggest which alternative you advise your friend to choose

  Prepare a spread sheet model

Prepare a spread sheet model for the client that determines NPV/IRR with and without tax.

  Principles and tools for financial decision-making

Principles and tools for financial decision-making. Analyse the concept of corporate capital structure and compute cost of capital.

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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