Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

PowerNow Inc, has developed a stand-by hybrid electrical power system for system household and small business use during power outages. The system is a combination

image text in transcribed
image text in transcribed
PowerNow Inc, has developed a stand-by hybrid electrical power system for system household and small business use during power outages. The system is a combination of electrical generator and battery that conserves fuel and runs extremely quietly. That is because the engine is small but designed to run 24 hours a day. The battery can provide a surge of power when a refrigerator, furnace, water pump, or microwave oven demands power and gets recharged over time. The company is owned by the founder's family and they seek to valuate the company using the comparison method. For a comparison company they have chosen Dustan Corp a private company that recently put itself up for sale to a private equity firm. The following data are available: What is the enterprise value of PowerNow based on the sales comparison? (Express your answer in $ millions to the nearest $100,000 as in " $16.8 million), Question 7 (1 point) What value of PowerNow's equity based on the sales comparison? What is the enterprise value of PowerNow based on its EBITDA comparison? A Question 9 (1 point) What value of PowerNow's equity based on its EBITDA comparison

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The Investing Revolutionaries How The Worlds Greatest Investors Take On Wall Street And Win In Any Market

Authors: James N. Whiddon , Nikki Knotts

1st Edition

0071623949,0071700560

More Books

Students also viewed these Finance questions

Question

Competent Critical Listening

Answered: 1 week ago

Question

=+3. What explains the popularity of the Dollar Shave Club?

Answered: 1 week ago