What is its liquidation value per share

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Question: Additional information with respect to the firm is available:

(1) Preferred stock can be liquidated at book value.
(2) Accounts receivable and inventories can be liquidated at 90% of book value.
(3) The firm has 10,000 shares of common stock outstanding.
(4) All interest and dividends are currently paid up.
(5) Land and buildings can be liquidated at 130% of book value.
(6) Machinery and equipment can be liquidated at 70% of book value.
(7) Cash and marketable securities can be liquidated at book value.
Given this information, answer the following:

What is Gallinas Industries' book value per share?
What is its liquidation value per share?
Compare, contrast, and discuss the values found in parts a and b.

Reference no: EM133715725

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