The founder of Alchemy Products, Inc., discovered a way to turn lead into gold and patented this new technology. He then formed a corporation and invested $2,000,000 in setting up a production plant. He can sell his patent for $50 million.
a. What are the book value and market value of the firm? (Enter your answers in dollars not in millions.)
b. If there are 2 million shares of stock in the new corporation, what would be the price per share and the book value per share? (Round your answers to 2 decimal places.)