Book Value of Capital
How do I find the book value of capital by looking at the balance sheet? Is it simply the BV of deb+BV of equity+cash? Do we assume BV of debt is only on interest bearing debt? If so, do we just ignore that the firm has current liabilities?
BV of equity + BV of interest bearing debt. The debt part can get tricky depending on what you consider interest bearing debt, since this term is usually a blanket term. What's the purpose of your exercise?
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