Business, 02.09.2021 21:40, elsabramasco1161
The Charleston Company is a relatively small, privately owned firm. Last year the company had after-tax income of $15,000, and 10,000 shares were outstanding. The owners were trying to determine the equilibrium market value for the stock, prior to taking the company public. A similar firm which is publicly traded had a price/earnings ratio of 5.0.
Required:
Using only the information given, estimate the market value of one share of Charlestons stock.
Answers: 3
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The Charleston Company is a relatively small, privately owned firm. Last year the company had after-...
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