Purchase Solution

Market capitalization, book debt-equity ratio

Not what you're looking for?

Ask Custom Question

Can you help me get started with this assignment?

In March 2005, General Electric had a book value of equity of $113 billion, 10.6 billion shares outstanding, and a market price of $36 per share. GE also had cash of $13 billion and total debt of $370 billion.

a. What was GE's market capitalization? What was GE's market-to-book value?

b. What was GE's book debt-equity ratio? What was GE's market debt-equity ratio?

c. What was GE's enterprise value?

d. What was GE's debt-capital ratio on book value and market value?

Please show in Excel.

Purchase this Solution

Solution Summary

Response provide the steps to compute the market capitalization, book debt-equity ratio, enterprise value, and debt-capital ratio

Solution Preview

** See ATTACHED file(s) for complete details and SOLUTION **

In March 2005, General Electric had a book value of equity of $113 billion, 10.6 billion shares outstanding, and a market price of $36 per share.
GE also had cash of $13 billion and total debt of $370 billion.

a. What was GE's market capitalization? What was GE's market-to-book value?

Market capitalization = Number of shares outstanding*Market price per ...

Purchase this Solution


Free BrainMass Quizzes
Motivation

This tests some key elements of major motivation theories.

Income Streams

In our ever changing world, developing secondary income streams is becoming more important. This quiz provides a brief overview of income sources.

MS Word 2010-Tricky Features

These questions are based on features of the previous word versions that were easy to figure out, but now seem more hidden to me.

Basics of corporate finance

These questions will test you on your knowledge of finance.

Situational Leadership

This quiz will help you better understand Situational Leadership and its theories.