Question: Use the table below to help you answer the questions PLEASE and THANK YOU Book and liquidation value The balance sheet for Gallinas Industries is

Use the table below to help you answer the questions PLEASE and THANK YOU

Book and liquidation value The balance sheet for Gallinas Industries is as follows, Additional information with respect to the firm is available: 1. Preferred stock can be liquidated at book value. 2. Accounts receivable and inventories can be liquidated at 93% of book value. 3. The firm has 10,000 shares of common stock outstanding. 4. All interest and dividends are currently paid up. 5. Land and buildings can be liquidated at 115% of book value. 6. Machinery and equipment can be liquidated at 73% of book value. 7. Cash and marketable securities can be liquidated at book value. Given this information, answer the following: a. What is Gallinas Industries' book value per share? b. What is its liquidation value per share? c. Compare, contrast, and discuss the values found in parts a and b. Data Table Assets Gallinas Industries Balance Sheet December 31 Liabilities and Stockholders' Equity $ 50,000 Accounts payable 78,130 Notes payable $ Cash Marketable securities 72,120 30,050 30,050 Accounts receivable Accrued wages 108,180 90,150 Inventories $ 132,220 $ 326,460 $ 162,270 $ 72,120 $ 102,953 171,587 Total current assets Land and buildings (net) Machinery and equipment Total fixed assets (net) Total assets Total current liabilities Long-term debt Preferred stock Common stock (10,000 shares) Retained earnings Total liabilities and stockholders' equity 144,240 90,150 $ 274,540 $ 601,000 $ 601,000
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