Question
3. Using the following information, evaluate the business value for the owner: EBITDA = $430,000 Entrepreneur bonus = $32,000 Sector Profit Multiple = 3 Long
3. Using the following information, evaluate the business value for the owner:
EBITDA = $430,000
Entrepreneur bonus = $32,000
Sector Profit Multiple = 3
Long term business debt = $124,000
If the entrepreneur had invested $600,000 in this new, what would be the expected return (in %) on his investment by selling his firm by the estimated value calculated below? Show all steps in the table below (3points)
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Investments
Authors: Zvi Bodie, Alex Kane, Alan Marcus, Stylianos Perrakis, Peter
8th Canadian Edition
007133887X, 978-0071338875
