2. NXT CO currently owes $459,000. If the firm sold all of its assets and paid...
2. NXT CO currently owes $459,000. If the firm sold all of its assets and paid off all its liabilities other than what it owes, the firm would have $738,000. There are 4,200 shares of NXT's co.
|
What is the price per share of NXT CO according to the liquidation method of valuation? |
Homework Answers
Liquidation Value = (738,000 - 459,000)/4,200
Liquidation Value = $66.43
So,
Liquidation Value per Share = $66.43
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