Question

The Blue Star Fund has assets with a market value of $10.6 million and liabilities of $607,000. What is the net asset value if there are 185,000 shares outstanding?

Answer 1

The answer is $54.02

Step-by-step explanation:

Net asset is the difference between total assets and total liabilities

Total assets are $10.6 million

Total liabilities are $607,000

= $10,600,000 - $607,000

Net assets = $9,993,000

Therefore, net asset value if there are 185,000 shares outstanding is Net assets/outstanding shares

$9,993,000/185,000

=$54.02