What is the ratio of market value of equity to book value

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Reference no: EM131538665

A firm has current assets that could be sold for their book value of $42 million. The book value of its fixed assets is $80 million, but they could be sold for $110 million today. The firm has total debt with a book value of $60 million, but interest rate declines have caused the market value of the debt to increase to $70 million. What is the ratio of the market value of equity to its book value?

Reference no: EM131538665

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