Question

Book value is determined by:


A. deducting liabilities from assets and dividing the remainder by owner's equity.


B. deducting liabilities from assets and dividing the remainder by the number of shares of stock outstanding.


C. dividing liabilities by the number of shares of stock outstanding.


D. dividing assets by the number of shares of stock outstanding.

Answer 1

I was thinking that the answer would be a because The book value of an asset is the asset's cost minus the asset's accumulated depreciation.