(Solved): Book and liquidation value The balance sheet for Gallinas Industries is as follows, 1. Preferred s ...

Book and liquidation value The balance sheet for Gallinas Industries is as follows, 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 135% of book value. 6. Machinery and equipment can be liquidated at 66% 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? Data table Assets Cash Marketable securities Accounts receivable Inventories Total current assets Land and buildings (net) Machinery and equipment Total fixed assets (net) Total assets Additional information with respect to the firm is available: X Gallinas Industries Balance Sheet December 31 $ 30,000 97,200 145,800 170.100 $ 443,100 $ 137,588 229,312 $ 366,900 $ 810,000 Liabilities and Stockholders' Equity Accounts payable Notes payable Accrued wages Total current liabilities Long-term debt Preferred stock Common stock (10,000 shares) Retained earnings Total liabilities and stockholders' equity $ 64,800 40,500 40,500 145,800 218,700 97,200 226,800 121,500 $ 810,000 - $ $ $