Question
I need help figuring out the bottom figures. I have not idea what the formulas are. Please help Harley-Davidson Inc. 2004 ($ millions) Net income
I need help figuring out the bottom figures. I have not idea what the formulas are. Please help
Harley-Davidson Inc. 2004 ($ millions)
Net income $889.77
Number of common shares, millions 294.31
Earnings before interest and tax $1,402.30
Tax rate 35.5%
Book value interest-bearing debt $1,295.44
Total Sales $5,320.45
Total Assets $5,483.29
Price/earnings X
MV firm/EBIT(1 - tax rate) X
MV equity/BV equity X
MV firm/BV firm X
Price/sales (x) X
MV firm/sales (x) X
Step 4 - The implied value of HOG common stock per share for each indicator of value is: Price/earnings
MV firm/EBIT(1 - tax rate)
MV equity/BV equity
MV firm/BV firm
Price/sales
MV firm/sales
Average implied value Check Figure Cell B52 = $62.23
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