Homework Answers
PB ratio=market price per share/book value per share
Hence intrinsic value=(22.98*2.15)
which is equal to
=$49.41(Approx).
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11. Foraker Products is a manufacturer and distributor of numerous food products....
show work and be neat please 9. Two public companies (Jensen and Jackson) operate in the...
show work and be neat please
9. Two public companies (Jensen and Jackson) operate in the same industry, will generate exactly the same operating profit, and have identical net operating assets. What is the weighted average cost of capital for each company? Which company will have a lower stock price? Jensen Total Debt Total Shareholder Equity Cost of Debt Cost of Equity $64,000 3.5% 5.5% Jackson $32,000 $32,000 5.0% 7.0% 10. Assume the following expected free cash flows for Peterson...
show work and be neat 43. Oliver Learning is a retailer focused on education supplies. The...
show work and be neat
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Fairfield Learning is a retailer focused on education supplies. The company has a book value of...
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Bynum and Crumpton, a small jewelry manufacturer, has been successful and has enjoyed a positive growth...
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Can you help me with 11+12 15-11 Jansken Co. has an ROE = .11 and a...
Can you help me with 11+12
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please show all work 1. Tipateena Boutiques has the following equity accounts on its balance sheet:...
please show all work
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show work and be neat please
9. Two public companies (Jensen and Jackson) operate in the same industry, will generate exactly the same operating profit, and have identical net operating assets. What is the weighted average cost of capital for each company? Which company will have a lower stock price? Jensen Total Debt Total Shareholder Equity Cost of Debt Cost of Equity $64,000 3.5% 5.5% Jackson $32,000 $32,000 5.0% 7.0% 10. Assume the following expected free cash flows for Peterson...
show work and be neat
43. Oliver Learning is a retailer focused on education supplies. The company has a book value of $43.98 per share. Oliver Learning has a PB ratio of 8.80 and the education supplies industry PB ratio is 6.46. Assuming that comparable industry companies are priced correctly the intrinsic value of Oliver Learning's equity per share is: A) Undervalued $102.91 per share B) Overvalued $102.91 per share C) Priced correctly D) Overvalued by $43.98 per share 14....
Can you help me with 11+12
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please show all work
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