Lotharan Corp. has yearly sales of $31.5 million and costs of $17.3 million. The companys balance sheet

Question:

Lotharan Corp. has yearly sales of $31.5 million and costs of $17.3 million. The company’s balance sheet shows debt of $59 million and cash of $21 million. There are 975,000 shares outstanding, and the industry EV/EBITDA multiple is 7.5. What is the company’s enterprise value? What is the stock price per share?

Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...