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A firms recent earning is $30million, and that the average discount for a profitable firm with $10 million revenue is 25%, how much of a
A firms recent earning is $30million, and that the average discount for a profitable firm with $10 million revenue is 25%, how much of a liquidity discount would you apply to this firm based on the Silber regression and on correcting the average discount for the size of the firm? Assume that there is a customer relationship between the buyer and the seller, and that the firms will sell 100% of its shares to the buyer.
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