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The Whitehorse Bookshop Company Has Non-Current Assets with a Book

Question 3

Multiple Choice

The Whitehorse Bookshop Company has non-current assets with a book value of $8000 dollars and an appraised market value of $15 000.Net working capital is $5000 on the books,but if liquidated about $7000 would be realised.The company has recently issued 100 long-term maturity debentures with a face value of $100 each.Current market price of one debenture is equal to $100.What is the book value of the equity?


A) $3000
B) $5000
C) $12 000
D) $13 000
E) $10 000

Correct Answer:

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