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Question 17 rowth, cash flowing company for 5X EBITDA. Last year's EBITDA was You want to purchase a high g $1,000,000. You want to purchase

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Question 17 rowth, cash flowing company for 5X EBITDA. Last year's EBITDA was You want to purchase a high g $1,000,000. You want to purchase the firm with the help from a Private Equity company and continue row the revenue and EBITDA at 30% per year because the historical growth of these figures has been to g over 40% growth. You want to be conservative in our estimations. What would you purchase the company for? What would you sell the company for in 5 years assuming no EBITDA multiple expansion? Question 18-Bonus You want to purchase a high growth, cash flowing company for 10X EBITDA. Last year's EBITDA was 500,000. You want to purchase the firm with the help from a Private Equity company and continue to grow the revenue and EBITDA at 25% per year. Unfortunately, during the following 5 years after you and the PE firm purchased the firm, the revenue and EBITDA growth was only 10% per year. What would you purchase the company for? What would you sell the company for in 5 years assuming no EBITDA multiple expansion

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