Response to the following problem:
The following is the shareholders' equity section of the balance sheet of Tridon Construction Limited at December 31, 2016.
Shareholders' Equity Common Shares, voting
Authorized - 500 shares
Issued and outstanding - 300 shares $3,070
Retained earnings 500
Total shareholders' equity $3,570
Required:
1. What is the stated value per common share? the book value per common share?
2. On December 31, 2016 the Tridon Construction common shares traded at $24. Why is the market value different from the book value of commons shares?