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13) Given the following inputs, compute the growth rate x tput, c -9, ROIC-12%, and wAcc-8%. compute the Enterprise Value-to-EBITA ratio: tax rate- a) 3.14x

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13) Given the following inputs, compute the growth rate x tput, c -9, ROIC-12%, and wAcc-8%. compute the Enterprise Value-to-EBITA ratio: tax rate- a) 3.14x b) 9.17x c) 8.73x d) 12.83 e) 17.00 14) Assuming the tax rate remains constant, what will be the effect on the Enterprise Value- to-EBITA ratio of doubling the following inputs: growth, ROIC, and WACC? a) The Enterprise Value -to-EBITA ratio will fall, but the amount is uncertain. b) The Enterprise Value -to-EBITA ratio will decrease by 50 percent. c)The Enterprise Value -to-EBITA ratio will increase, but the amount is uncertain. di The Enterprise Value -to-EBITA ratio will double. e) There is no way to calculate what will happen. 15) In estimating and comparing value, empirical evidence shows that forward-looking multiples are more accurate predictors of value than are historical multiples. a) True b) False. 16) If you arrive at a company value based on the valuation model (DCF) that is significantly different from the market value, the default assumption should be: a) The market valuation is incorrect. b) Your model is incorrect

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