It is also common to compare firms on their price-to-ebitda ratios. What are the merits of using

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It is also common to compare firms on their price-to-ebitda ratios. What are the merits of using this measure? What are the dangers?

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Financial statements

ISBN: 978-007802531

5th Edition

Authors: Stephen Barrad

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Question Posted: Mar 17, 2012 06:12 AM

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It is common to compare firms on their price-to-ebit ratios. What are the merits of using this measure? What are the problems with it?
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It is also common to compare firms on their price-to-ebitda ratios. What are the merits of using

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Merits The priceto ebitda ratio has the same merits as the priceto ebit ratio But by adding back dep...View the full answer

Financial statements

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