Question 4 5 pts For the most recent fiscal year, book value of long-term debt at...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Question 4 5 pts For the most recent fiscal year, book value of long-term debt at Schlumberger was $19532 million. The market value of this long-term debt is approximately equal to its book value. Schlumberger's share price currently is $59.45. The company has 1,000 million shares outstanding. What is the market value of the company to its bondholders and shareholders? Do not round at intermediate steps in your calculation. Express your answer in millions of dollars. (Thus, for example, you would enter $120,340,000 as 120.34 in Canvas.) Round to two decimal places. Do not type the $ symbol. Advice: this problem gives you debt in millions of dollars and shares outstanding in millions of shares. If you work in millions from start to finish (rather than expanding out the numbers to dollars as you work), then you can avoid the hassle of converting back to $ millions. Question 4 5 pts For the most recent fiscal year, book value of long-term debt at Schlumberger was $19532 million. The market value of this long-term debt is approximately equal to its book value. Schlumberger's share price currently is $59.45. The company has 1,000 million shares outstanding. What is the market value of the company to its bondholders and shareholders? Do not round at intermediate steps in your calculation. Express your answer in millions of dollars. (Thus, for example, you would enter $120,340,000 as 120.34 in Canvas.) Round to two decimal places. Do not type the $ symbol. Advice: this problem gives you debt in millions of dollars and shares outstanding in millions of shares. If you work in millions from start to finish (rather than expanding out the numbers to dollars as you work), then you can avoid the hassle of converting back to $ millions.
Expert Answer:
Answer rating: 100% (QA)
Question To find the market value of the company to its bondholders we need to consider ... View the full answer
Related Book For
Auditing The Art and Science of Assurance Engagements
ISBN: 978-0133405507
13th Canadian edition
Authors: Alvin A. Arens, Randal J. Elder, Mark S. Beasley, Joanne C. Jones
Posted Date:
Students also viewed these finance questions
-
The minutes of the board of directors of the Meeting of March 5, 2011 The meeting of the board of directors of Tetonic Metals was called to order by the James Cook, chairman of the board, at 8:30 am....
-
In Problem 10.16, we projected financial statements for Walmart Stores, Inc. (Walmart) for Years +1 through +5. The data in Exhibits 12.17-12.19 (pages 948-950) include the actual amounts for 2012...
-
Why is globalization of industries a common factor today?
-
Grimes purchased a new Dodge car from Hornish, a franchised Dodge dealer. The sale was made in the ordinary course of Hornish's business. Grimes paid Hornish the purchase price of the car at the time...
-
The horizontal 30-N force acts on the handle of the wrench. Determine the moment of this force about point O. Specify the coordinate direction angles ?, ?, ? of the moment axis. 30 N -200 mm 10 mm 50...
-
In order to be able to use industry benchmarks to evaluate a firms performance, it is necessary to determine the industry to which the firm belongs. Eurostat (European Statistical Office) is a...
-
Moss Exports is having a bad year. Net income is only $60,000. Also, two important overseas customers are falling behind in their payments to Moss, and Mosss accounts receivable are ballooning. The...
-
16. Using the given data find value of resonance energy of benzene C6H6. AydgH of cyclohexene = -119 kJ/mole AhydgH of benzene = -206.5 kJ/mole (a) -150.5 kJ/mole (b) -325.5 kJ/mole (c) -87.5 kJ/mole...
-
In Exercise 6 of Chapter 2, data on numbers of publications were given for an SRS of 50 faculty members. Not all departments were represented, however, in the SRS. The SRS contained several faculty...
-
NORDIC LIMITED: WORKING CAPITAL AND CAPITAL BUDGETING Nordic Limited commenced operations on 0 1 January 2 0 2 3 . Its mission was to provide an innovative product whilst ensuring creative customer...
-
Explain the network components and Architecture below STA 2 AP1 Basic Service Set (BSS) STA 3 Distribution System STA4 STA 1 AP2 Basic Service Set (BSS) STA6 STA7 STAS
-
Which statement best describes the model - first approach O models cannot be modified after schema is persisted into the database the models are last built and should reflect the database O models...
-
Figure P12.4-2 12.4-2 For the ternary channel in Fig. P12.4-2, Px (x) = P, Px (x2) = Px (x3) = Q. (Note: P +2Q=1.) (a) Determine H(x), H(x|y), H(y), and I(x; y). (b) Show that the channel capacity C,...
-
What is the most effective way to mitigate worm and virus attacks? a . Deploy packet filtering firewalls at the network edge. b . Install security updates to patch vulnerable systems. C . Ensure to...
-
Select the correct Value of CL and DL registers after execution of below given program. MOV AL, B2 MOV BX, 0000 MOV CL, [0001] MOV AX, BX MOV DL, [BX+1] INT 7 0090:0000 DB AC, 7E, 3B O a. CL 7E and...
-
Using the table below and 2000 as the base year, compute the real GDP in 2019 and 2020. Select one: a. The real GDP in 2019 is equal to 1,600 and the real GDP in 2020 is equal to 3,675. b. The real...
-
A supermarket chain is interested in exploring the relationship between the sales of its store-brand canned vegetables (y), the amount spent on promotion of the vegetables in local newspapers (x1)...
-
Kitchen-Tech is a private large manufacturing firm that is headquartered in Toronto, Ontario. Kitchen-Tech manufactures, distributes, and installs high-tech kitchen equipment and custom made...
-
What are the major differences in the scope of the audit responsibilities for public accountants, auditors from offices of auditors general, Canada Revenue Agency auditors, and internal auditors?
-
What is meant by "audit quality," and what factors influence it?
-
Explain the building blocks of accounting: ethics, principles, and assumptions.
-
On May 1, 2025, Park Flying School Ltd., a company that provides flying lessons, was started with an investment of 45,000 cash in the business. Following are the assets and liabilities of the company...
-
The historical cost basis results in: a. initially recording assets at cost and adjusting when the current value changes. b. keeping activities of an entity separate and distinct from its owner. c....
Study smarter with the SolutionInn App