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finance ch.3 - 7 Hayes Corporation has $300 million of...

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7.  Hayes Corporation has $300 million of common equity 6 million shares of common stock outstanding. If Hayes' Market Value Added (MVA) is $162 million, what is the company's stock price? A)  $ 23 B)  $ 50 C)  $ 32 D)  $ 77 E)  $138 Points Earned:  5.0/5.0  Correct Answer(s): D 8.  Over the years, O'Brien Corporation's stockholders have provided $20,000,000 of capital, when they purchased new issues of stock and allowed management to retain some of the firm's earnings. The firm now has 1,000,000 shares of common stock outstanding, and it sells at a price of $38.50 per share. How much value has O'Brien's management added to stockholder wealth over the years, i.e., what is O'Brien's MVA? A)  $20,500,000 B)  $19,000,000 C)  $18,500,000 D)  $20,000,000 E)  $19,500,000 Points Earned:  5.0/5.0  Correct Answer(s): C 9.  For managerial purposes, i.e., making decisions within the firm, the standard financial statements as prepared by accountants under Generally Accepted Accounting Principles (GAAP) rules are
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