BUSINESS FINANCE MATHEMATICS

You have a business you are considering selling. There are several ways to determine the firms worth. Based on the following data, which method would merit you the most for your business.
· 2016 annual profits were $1,500,000
· Your current stock is 35.00 per share
· There are 35,000 outstanding shares of stock.
· Your stock has earned $12 this past year, and
· Average net income over five years $600,000
Consider in this calculation the Price/Ratio Method, outstanding share method, and the conservative rule of thumb. Show your work for each of these methods and identify, based on your work, which method yield you the most for your business.