Exhibit 14.12 presents market and profit data for three companies. If Company 3 has nonoperating assets valued

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Exhibit 14.12 presents market and profit data for three companies. If Company 3 has nonoperating assets valued at $50 million, what are the

company's appropriate enterprise-value-to-EBITDA and enterprise-valueto EBITA multiples?

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Valuation Measuring and managing the values of companies

ISBN: ?978-0470424704

5th edition

Authors: Mckinsey, Tim Koller, Marc Goedhart, David Wessel

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Question Posted: Aug 12, 2015 02:20 AM

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Exhibit 14.12 presents market and profit data for three companies. If Company 3 has nonoperating assets valued

Question:

EXHIBIT 14.12 Multiples Analysis: Market and Profit Data S million Company1 Company2 Company 3 Market data Share price (dollars) Shares outstanding Imillions 25 30 15 Short-term dabt Long-term debt 25 50 15 70 30 Operating profit EBITDA EBITA 25 30 23 51

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Valuation Measuring and managing the values of companies

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