Reservoir Bottling Co. reported the following information at the end of the year. Total current assets are worth $237,513 at book value and $219,344 at market value. In addition, plant and equipment have a market value of $343,222, and a book value of $362,145. The company’s total current liabilities are valued at market for $134,889 and have a book value of $129,175. Both the book value and the market value of long-term debt is $144,000. If the company’s total assets have a market value of $562,566 and a book value of $599,658, what is the difference between the book value and market value of its stockholders’ equity?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Reservoir Bottling Co. reported the following information at the end of the year. Total current
assets are worth $237,513 at book value and $219,344 at market value. In addition, plant and
equipment have a market value of $343,222, and a book value of $362,145. The company’s
total current liabilities are valued at market for $134,889 and have a book value of $129,175.
Both the book value and the market value of long-term debt is $144,000. If the company’s total
assets have a market value of $562,566 and a book value of $599,658, what is the difference
between the book value and market value of its stockholders’ equity?

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