Sandhill's income statement from the fiscal year that ended this past December is: Revenue $915 600 Cost of goods sold Gross profit $315 124 Selling, general, & administrative expenses Operating profit (EBIT) $191 44 Interest expense Earnings before taxes $147 59 Taxes Net income $88 All dollar values are in millions. Depreciation and amortization expenses last year were $39 million, and the company has $490 million of debt outstanding. You are an analyst at a firm that buys private companies, improves their operating performance, and sells them for a profit. Your boss has asked you to estimate the fair market value of the Sandhill Machine Tool Company. Billy's Tools is a public company with business operations that are virtually identical to those at Sandhill. The most recent income statement for Billy's Tools is as follows: Revenue $ 1,623 1,075 Cost of goods sold Gross profit $ 548 194 Selling, general, & administrative expenses Operating profit (EBIT) $ 354 11 Interest expense Earnings before taxes $ 343 135 Taxes Net income $ 208 All dollar values are in millions. Billy's had depreciation and amortization expenses of $65 million last year and had 180 million shares and $550 million of debt outstanding as of the end of the year. Its stock is currently trading at $11.25 per share. (a) Calculate Billy Tool's enterprise value/EBITDA. (Round ratio to 2 decimal places, e.g. 15.25.) Billy Tool's enterprise value/EBITDA ratio is ta