Question: Question 24 A firm has current assets that could be sold for their book value of $10 million. The book value of its fixed assets

Question 24

A firm has current assets that could be sold for their book value of $10 million. The book value of its fixed assets is $60 million, but they could be sold for $95 million today. The firm has total debt at a book value of $40 million, but interest rate changes have increased the value of the debt to a current market value of $50 million. This firm's market-to-book ratio is ________.

		1.83
		1.5
		1.35
		1.46

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