Bauer Software's current balance sheet shows total common equity of $4,653,400. The company has 530,000 shares of stock outstanding, and they sell at a price of $27.50 per share. By how much do the firm's market and book values per share differ

Difference between market value and book value = $18.72 (Approx)

Explanation:

Given:

Common equity =  $4,653,400

Number of shares = 530,000

Selling price = $27.50 per share

Find:

Difference between market value and book value

Computation:

Difference between market value and book value = $27.50 per share - [$4,653,400 / 530,000]

Difference between market value and book value = $27.50 per share -  8.78 per share

Difference between market value and book value = $18.72 (Approx)

answer; i believe the correct answer is (4.0);

there was no passage listed but using the process of elimination i'd say it was d. the high economy would do the opposite. i don't see how low prices would affect it. high unemployment is possible but i feel d is the better answer.