What is the book value of klingon assets today

Assignment Help Financial Management

Reference no: EM131953050

Klingon Widgets, Inc., purchased new cloaking machinery three years ago for $6.5 million. The machinery can be sold to the Romulans today for $4.25 million. Klingon's current balance sheet shows net fixed assets of $3.1 million, current liabilities of $2.1 million, and net working capital of $560,000. If all the current assets were liquidated today, the company would receive $1 million cash.

Required:

(a) What is the book value of Klingon's assets today?

(b) What is the market value?

Reference no: EM131953050

Questions Cloud

What should the price of the security one year from now : What should the price of the security be? What should the price of the security one year from now?

What was their operating cash flow : Their interest expense was $40,000 and operating costs of $180,000. what was their Operating Cash Flow? What was their Net Cash Flow?

What is the annual rate of return on the investment? : If you purchase it for 800 then what is the annual rate of return on the investment?

What is the earnings per share or eps-figure : What is the earnings per share, or EPS, figure? What is the dividends per share figure?

What is the book value of klingon assets today : What is the book value of Klingon's assets today? What is the market value?

How much of the return came from dividend yield : What was your realized return? How much of the return came from dividend yield?

The erm framework to manage business risk : Explain how management would use the ERM framework to manage business risk.

What’s the loan effective annual rate : A loan is offered with monthly payments and a 11.50 percent APR. What’s the loan’s effective annual rate (EAR)?

Cash shortage that required it to raise external capital : Would the asset expansion have caused the company to experience a cash shortage that required it to raise external capital? Explain.

User Account

All Pages