Klingon Cruisers, Inc., purchased new cloaking machinery three years ago for $7.5 million. The machinery can be
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Klingon Cruisers, Inc., purchased new cloaking machinery three years ago for $7.5 million. The machinery can be sold to the Romulans today for $5.6 million. Klingon’s current balance sheet shows net fixed assets of $3.9 million, current liabilities of $1.125 million, and net working capital of $340,000. If all the current accounts were liquidated today, the company would receive $380,000 cash. What is the book value of Klingon’s total assets today? What is the sum of the market value of NWC and market value of assets?
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Corporate Finance Core Principles And Applications
ISBN: 9781260571127
6th Edition
Authors: Stephen Ross, Randolph Westerfield, Jeffrey Jaffe, Bradford Jordan
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