What companies are worth.

PositionGRAPH * COVER STORY - Graph

As the article "Facebook Fever" reports, Facebook is gearing up for an initial public offering, or I.P.O. When Facebook's stock begins trading publicly, investors will help determine what the company is worth by buying its stock. The greater the demand for a particular stock, the higher its price per share rises. Multiply that share price by the total number of shares held by the public and you get one measure of the company's worth: its market capitalization, or market value. For example, if a company has 25 million shares held by the public and each share is worth $100, that company's market value is $2.5 billion.

Company Market Value (in Billions of Dollars) APPLE (S433) EXXON MOBIL ($411) WAL-MART ($212) GENERAL ELECTRIC ($201) GOOGLE ($198) COCA-COLA ($155) MCDONALD'S ($102) FACEBOOK ($90-PROJECTED) AMAZON ($83) WALT DISNEY ($72) BOEING ($56) FORD ($49) STARBUCKS ($36) DELL ($32) CAMPBELL SOUP ($10) This bar graph compares Facebook's projected market value with the market values of 14 publicly traded companies, * Facebook is projected to raise S75 billion to $100 billion in its I.P.O. ANALYZE THE GRAPH

(1) Apple has the highest market value of any U.S. company. By about how much would Facebook's projected market value have to increase to equal Apple's value?

a $210 billion

b $340 billion

c $390 billion

d $405 billion

(2) The total market value of the Internet companies on the graph (Facebook, Amazon, and Google) is about--the market value of--.

a 10 times, Starbucks

b half, Apple

c double, Boeing

d equal to, Exxon Mobil

(3) If a share of McDonald's stock sells for about $102, you can infer that the company has about--shares held by the public.

a 2 million

b 100 million

c 1 billion

d 10 billion

(4) Walt Disney and Dell each have 1.8 billion shares held by the public. You can infer that --.

a they also have the same share price

b Dell's share price is higher

c Disney's share...

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