The Difference Between the “Market Capitalization” Value and the “Book” Value

Read:
Chapter 16 – Walther, L.M. (2012). Principles of Accounting. Logan, UT: Utah State University. Available at http://www.principlesofaccounting.com/chapter-16/
Pages 25-31 – Hill, R.A. (2012). Company Valuation and Takeover: Part II. BookBoon: Robert Alan Hill & Ventus Publishing ApS. (I attach the textbook below)
The definition of “market capitalization” provided by the NASDAQ electronic marketplace available at http://www.nasdaq.com/investing/glossary/m/market-capitalization
Chapter 3, Section 3.1 – Compendium. Corporate Finance. (2008). BookBoon: Ventus Publishing ApS. (I attach the textbook below)

For the discussion post:
In your own words, explain the difference between the “market capitalization” value of a company and its “book” value.
How would each value be useful in evaluating the value of a company?

Be sure to use in-text citation and provide references for your sources, including textbooks.

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