Stock Valuation

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: (S Millions) PowerNow Dustan 35 120 24.5 72 Sales EBITDA 3 4 8 PowerNow Dustan 120 35 Sales 24.5 72 EBITDA 2.1 Net Income 20.16 Debt 50.4 Enterprise Value Equity 30.24 Question 4 (1 point) 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), 10 3 4 5 9 Question 5 (1 point) What value of PowerNow's equity based on the sales comparison? Question 6 (1 point) What is the enterprise value of PowerNow based on its EBITDA comparison? Question 7 (1 point) What value of PowerNow's equity based on its EBITDA comparison? Question 8 (1 point) What is the enterprise value of PowerNow based on its Net Income comparison? Question 9 (1 point) What value of PowerNow's equity based on its Net Income comparison