What is the market value

Assignment Help Finance Basics
Reference no: EM13663934

Klingon Widgets, Inc., purchased new cloaking machinery three years ago for $7 million. The machinery can be sold to the Romulans today for $4.9 million. Klingon's current balance sheet shows net fixed assets of $3.7 million, current liabilities of $1.1 million, and net working capital of $380,000. If all the current assets were liquidated today, the company would receive $1.6 million cash.

Required:
(a) What is the book value of Klingon's assets today?(b) What is the market value?

Reference no: EM13663934

Questions Cloud

A health service systems class : A health service systems class: What are the components of a comprehensive healthcare plan offered by employers? What outcomes are desired by the employer after implementation of the health plan? How would these outcomes be measured?
Craig is high on negative affectivity : Craig, a manager at Carzone Ltd., is a very positive individual. He rarely exhibits negative emotions and moods and is always optimistic about himself and others. It can be said that Craig is high on negative affectivity.
Medium reflects leadership theories or research : Medium reflects leadership theories or research
The company payout ratio will remain constant : The company's payout ratio will remain constant at 50%.
What is the market value : What is the market value
Berkeley psychology professor geoffrey keppel : Berkeley psychology professor Geoffrey Keppel
Risk averse investors and more aggressive investors : Risk averse investors and more aggressive investors
What would the net annual cost of the checking account be : What would the net annual cost of the checking account be?
What is the best option for ben from a strictly financial : What is the best option for Ben from a strictly FINANCIAL standpoint?

Reviews

Write a Review

Finance Basics Questions & Answers

  How long must paul anticipate living for the annuity

Paul Bearer may elect to take a lump-sum payment of $25,000 from his insurance policy or an annuity of $3,200 annually as long as he lives. How long must Paul anticipate living for the annuity to be preferable to the lump sum if his opportunity ra..

  What are the sharpe and treynor ratios for the fund

Consider the following information for a mutual fund, the market index, and the risk-free rate. You also know that the return correlation between the fund and the market is 0.95.

  That analyzes a legalethical issue or situation relating to

that analyzes a legalethical issue or situation relating to a current previous or potential future work environment.

  How much money will you need to have saved up in your 401k

how much money will you need to have saved up in your 401k plan at the begining of your retirement so that you can

  The price of a 1-year 093-strike european call on the euro

suppose that the exchange rate is 0.95 usd per euro and that the euro-denominated continuously compounded interest

  Computing future exchange rate

You are considering a project in Poland which has initial cost of 275,000PLN. The project is expected to return one-time payment of 390,000PLN four years from now.

  Explain how activity-based costing

Explain how activity-based costing differs from the full costing method. How can activity-based costing be applied to the service sector when the 'activities' that it seeks to analyse tend to be related to manufacturing?

  Determining the future value of the investment

Determining the future value of the investment and every year for the next six years in an investment paying

  What can happen if this activity is not well established

Why is it important to monitor the cash flow of an organization? What can happen if this activity is not well established?

  Create a x-y scatter plot of your data

Create a X-Y scatter plot of your data, with the return on the stock as the vertical axis and the return on the market as the horizontal axis. Name this chart as SCATTER in your workbook and be sure to label the axes.

  Computation of contribution margin and break-even point

Computation of contribution margin and break-even point and target operating income and What will be the operating income

  In which year is the investment recouped

Project X has a cost of $230,000 and provides the following annual earnings: year 1 $35,000; year 2 $140,000; year 3 $175,000; and year 4 $50,000. Under the payback method, in which year is the investment recouped?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd