Question: Kindly answer this question. and please indicte all the procedure even formulas. thank you QUESTION TWO Assume that you have been tasked by the proprietor

 Kindly answer this question. and please indicte all the procedure even

Kindly answer this question.

and please indicte all the procedure even formulas. thank you

QUESTION TWO Assume that you have been tasked by the proprietor of ABC Limited to estimate the equity value of the company using the relative valuation approach. ABC Limited is a private company in the manufacturing sector with operations in two countries, The data provided below is in respect of three companies listed at the exchange and are similar/comparable to the private firm being valued. AVE Average Earning per share FIRM Machete care 100 20 TO 70 12 age canings per share for ABC Limit million shares issued and outstanding ed is three shillings. The company has a total of Required: (a) Using the relative valuation approach, estim ate the market value of a share of ABC Limited (10 marks) (b) Estimate the Equity value of ABC Limited, (5 marks) [Total 15 marks]

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