Book value of muffin masonry


Problem:

Muffin's Masonry, Inc.'s, balance sheet lists net fixed assets as $21.00 million. The fixed assets could currently be sold for $33.00 million. Muffin's current balance sheet shows current liabilities of $9.00 million and net working capital of $8.00 million. If all the current accounts were liquidated today, the company would receive $7.60 million cash after paying the $9.00 million in current liabilities.

Required:

Question: What is the book value of Muffin's Masonry's assets today and the market value of these assets?

Note: Explain all steps comprehensively.

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Accounting Basics: Book value of muffin masonry
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