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If you can figure this out that would be great Your firm currently has $190,000 in assets and $40,000 in debt business. Financial records show
If you can figure this out that would be great
Your firm currently has $190,000 in assets and $40,000 in debt business. Financial records show the most recent EBITDA to be $80,000 and recent the most net income to be $10,000. You (the entrepreneur) paid yourself a salary that is $20,000 higher than the current market rate. Based on the past growth of your firm and the current outlook for your industry, you think a multiple of "\#" is appropriate. The first digit of your ABC123 is your profit multiple. If your first digit is 0 or 1 , assume a profit multiple of 2 . Find the value of this firm according to the "quick and dirty" valuation method from Chapter 2. List the first digit in your ABC123 1. Starting value 2. Add back 3. Adjusted 4. Multiple 5. Magnified value 6. Subtract value 7. Value to ENT 8. Would you sell for $100,000 ? 9. Would you sell for $500,000Step by Step Solution
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