Series 7 - General Securities Representative Exam
Which of the following best defines a company's book value?
The value of a company according to the stock's market capitalizationA
The amount of money that would be paid to shareholders if the company was liquidated and paid off all of its liabilitiesB
The amount of money that would be paid to shareholders if the company was acquired in a leveraged buyoutC
The value of the company according to the forward earnings per shareD
Book value of a company=Total assets−Total liabilities