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Use the table for the question(s) below. Name Market Enterprise Capitalization Value ($ million) ($ million) Gannet 6350 10,163 New York Times 2423 3472 McClatchy

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Use the table for the question(s) below. Name Market Enterprise Capitalization Value ($ million) ($ million) Gannet 6350 10,163 New York Times 2423 3472 McClatchy 675 3061 Media General 326 1192 14.89 Lee Enterprises 267 1724 Average Maximum Minimum Enterprise Valuel Sales 1.4 1.10 1.40 Pricel PE Book 7.36 0.73 18.09 2.64 9.76 1.68 0.39 6.55 0.82 11.33 1.25 +60% 112% -40% 69% Enterprise Valuel EBITDA 5.04 7.21 5.64 7.65 6.65 6.44 +22% 1 - 19% 1.57 1.35 +16% - 18% OA. -50.23 O B. - $3.76 OC. - 54.14 OD. -50.38 Click to select your answer. (5 million) 6350 2423 675 Sales 1.4 1.10 1.40 EBITDA 504 721 564 Gannet New York Times McClatchy Media General 326 Lee Enterprises Average Maximum Minimum 1192 ($ million) PE Book 10.163 7.36 0.73 3472 18.09 2.64 3061 9.76 1.68 14.89 0.39 1724 6.55 0.82 11.33 1.25 +60% 112% 1.31 7.65 267 1.57 1.35 +16% 6.65 6.44 +22% - 19% - 40% 699 - 18% The table above shows the stock prices and multiples for a number of firms in the newspaper publishing industry. Another newspaper publishing firm (not shown) had sales of $620 million, EBITDA of $89 million, excess cash of $61 million, $18 million of debt, and 120 million shares outstanding. If the firm had an EPS of $0.42, what is the difference between the estimated share price of this firm if the average price-earnings ratio is used and the estimated share price if the average enterprise value/EBITDA ratio is used? OA. - 50.23 OB. - $3.76 OC -54.14 OD. $0.38 Click to select your

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