You want to value Beta Co. for an IPO.

Market multiples in the industry in which Beta participates reveals the following averages:

• Price per share as multiple of last 12 months EPS = 30
• Total enterprise value as multiple of last 12 months sales = 2
• Total enterprise value as multiple of last 12 months EBITDA = 10

Data on Beta Co.:

• Debt (current) = $100 million
• Sales (last 12 months) = $300 million
• EBITDA (last 12 months) = $60 million
• Net income (last 12 months) = $16 million

(a) WhatistheequityvalueofBetausingP/Emultipleanalysis? (b) What is the equity value of Beta using sales multiple analysis? (c) What is the equity value of Beta using EBITDA multiple analysis?