Going-concern value: Aggie Motors is a chain of used car dealerships that has publicly traded stock. Using the adjusted book value approach, you have estimated the value of Aggie Motors to be $45,646,000. The company has $40.5 million of debt outstanding. Its stock price is $5.5 per share, and there are 1,378,000 shares outstanding. What is the going concern value of Aggie Motors?

Johnson”s income statement from the fiscal year that ended this past December is:



Cost of goods sold


Gross profit


Selling, general, and administrative expenses


Operating profit (EBIT)


Interest expense


Earnings before taxes




Net income

$ 96

All dollar values are in millions. Depreciation and amortization expenses last year were $42 million, and the company has $533 million of debt outstanding.