Question
A company with EBITDA of $1,200 is purchased for an 8x multiple, financed with $6,000 of debt. How much equity is used to finance the
A company with EBITDA of $1,200 is purchased for an 8x multiple, financed with $6,000 of debt. How much equity is used to finance the purchase? Assuming the company reports interest expense of $240 on its income statement, what is interest coverage?
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Financial Reporting And Statement Analysis A Strategic Approach
Authors: Clyde P. Stickney, Paul Brown, James M. Wahlen
5th Edition
032418638X, 978-0324186383
