Answer:
The correct answer is "$8.65".
Explanation:
The given question is incomplete. Please find attachment of the complete question.
The given values are:
Total stockholders equity
= 4980000
Preferred stock
= 1000000
Number of common stock issued
= 460000
So,
The book value per share of common stock will be:
= [tex]\frac{ (Total \ Stockholders \ Equity - Preferred \ Stock)}{No. \ of \ common \ stock \ issued}[/tex]
On putting the values, we get
= [tex]\frac{(4980000 - 1000000)}{460000}[/tex]
= [tex]\frac{3980000}{460000}[/tex]
= [tex]8.65[/tex]$
