If a company has 1,000 shares outstanding at $5 per share, what is the current market cap?

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To determine the current market capitalization of a company, you multiply the number of shares outstanding by the price per share. In this case, the company has 1,000 shares outstanding, and each share is priced at $5.

So, the calculation is as follows:

Market Capitalization = Number of Shares Outstanding × Price per Share

Market Capitalization = 1,000 shares × $5/share = $5,000

Thus, the market cap is $5,000, which makes this the correct answer.

Understanding this concept is crucial for evaluating a company's size in the market and can help in making investment decisions. The other choices presented do not reflect the correct calculations based on the information given.

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