Question
Russell's has annual revenue of $387,000 with costs of $216,400. Depreciation is $48,900 and the tax rate is 21 percent. The firm has debt outstanding
Russell's has annual revenue of $387,000 with costs of $216,400. Depreciation is $48,900 and the tax rate is 21 percent. The firm has debt outstanding with a market value of $182,000 along with 9,500 shares of stock that is selling at $67 a share. The firm has $48,000 of cash of which $29,500 is needed to run the business.
What is the firm's EV/EBITDA ratio?
Step by Step Solution
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Step: 1
To calculate the EVEBITDA Enterprise Value to Earnings Before Interest Taxes ...
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Corporate Finance Core Principles And Applications
Authors: Stephen Ross, Randolph Westerfield, Jeffrey Jaffe, Bradford Jordan
6th Edition
1260571122, 978-1260571127
