At the end of this fiscal year, ABC Company's balance sheet showed $5,470,208 of long term debt, $1,000,000 of common stock account, and $2,569,250 of retained earnings. The company had no preferred stock outstanding, and the market value of its long-term debt was the same as its book value. The company had 104,639 shares of common stock with the end-of-year price of $45 per share. How much value (MVA) did ABC Company's management add to stockholders' wealth this year? Round your answer to the nearest dollar, but ignore dollar sign. If your answer has a negative number, add '-' to your answer, e.g., xx,xxx or -xx,xxx. (Hint: MVA = MV of capital - BV of capital)

At the end of this fiscal year, ABC Company's balance sheet showed $5,470,208 of long term debt, $1,000,000 of common stock account, and $2,569,250 of retained earnings. The company had no preferred stock outstanding, and the market value of its long-term debt was the same as its book value. The company had 104,639 shares of common stock with the end-of-year price of $45 per share. How much value (MVA) did ABC Company's management add to stockholders' wealth this year? Round your answer to the nearest dollar, but ignore dollar sign. If your answer has a negative number, add '-' to your answer, e.g., xx,xxx or -xx,xxx. (Hint: MVA = MV of capital - BV of capital)

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter3: Review Of A Company's Accounting System

Section: Chapter Questions

Problem 9RE: For the current year, Vidalia Company reported revenues of 250,000 and expenses of 225,000. At the...

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