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JRN Enterprises just announced that it plans to cut its next year dividend, D, from $2.25 to $1.20 per share and use the extra funds to expand its operations Prior to this announcement RN's dividents were expected to grou at 4% per year and JIN's stock was trading at $24.00 per share with the new expansion RN's dividends are expected to grow share of JRN after the announcement is closest to per year indefinibuly Assuming that N's nk is unchanged by the expansion, the value of a

O A. $41.06 O B. $22.33 O C. $24.00 O D. $12.00

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Answer:

I would explaining how to calculate the book value per share (BVPS) for Roxie’s Bed & Breakfast Corp. The formula for BVPS is:

BVPS=fractextTotalEquity−textPreferredEquitytextTotalSharesOutstanding

To answer your question, we need to find the values of these variables from the given information. We can use the following steps:

Total equity is equal to the common stockholders’ equity, which is given as $46.0 million.

Preferred equity is not given, so we assume it is zero.

Total shares outstanding is given as 20 million shares.

Plugging these values into the formula, we get:

BVPS=frac46.0−020=2.3

Therefore, Roxie’s Bed & Breakfast’s book value per share is $2.30

Step-by-step explanation:

I hope this helps

User Djhayman
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