Headquartered in Toronto, Canada, The Toronto-Dominion Bank and its subsidiaries are collectively known as TD Bank Group (TSX: TD and NYSE: TD). With operations organized into four segments (Canadian Personal and Commercial Banking, US Personal and Commercial Banking, Wholesale Banking, and Wealth and Insurance), in 2012 TD provided financial products and services to approximately 22 million customers.

Exhibit 10 presents data from the equity section of TD’s consolidated balance sheets for the years 2010–2012.

i. Using the data in Exhibit 10, calculate book value per share for 2010, 2011, and 2012.
ii. Given a closing price of CAD81.23 on 31 October 2012, calculate TD’s 2012 P/B ratio.

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EXHIBIT 10 Equity Equity Data for TD Bank Group (millions of Canadian dollars) 31 October 2012 31 October 2011 1 November 2010 Common shares CAD18,691 CAD17,491 CAD15,804 Millions of shares issued and outstanding: 2012: 918.2 2011: 902.4 2010: 879.7 Preferred shares Millions of shares issued and outstanding: 2012: 135.8 2011: 135.8 2010: 135.8 3,395 3,395 3,395