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Consider a company with $10mm in net income, $100mm in revenue, $5mm in interest expense, $6mm in depreciation and amortization expense. It paid $5mm in

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Consider a company with $10mm in net income, $100mm in revenue, $5mm in interest expense, $6mm in depreciation and amortization expense. It paid $5mm in taxes. Smart investors believe that similar companies have enterprise values equal to 8.5x EBITDA. The company has $65mm in debt outstanding. It has $20 mm in accounts payable. What do you think smart investors believe the total equity value is? $221mm $136mm $156mm $300mm $100mm $171mm

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