Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The market value of the equity of Thompson, Inc., is $580,000. The balance sheet shows $35,000 in cash and $190,000 in debt, while the income

The market value of the equity of Thompson, Inc., is $580,000. The balance sheet shows $35,000 in cash and $190,000 in debt, while the income statement has EBIT of $91,000 and a total of $135,000 in depreciation and amortization.

Required:

What is the enterprise value-EBITDA multiple for this company? (Do not round intermediate calculations.Round your answer to 2 decimal places (e.g., 32.16).)

Enterprise value-EBITDA multiple times

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 Basics Of Public Budgeting And Financial Management

Authors: Charles E. Menifield

4th Edition

0761872116, 978-0761872115

More Books

Students also viewed these Finance questions

Question

Detail the process of beginning a successful nursing job search.

Answered: 1 week ago