Question 32 2 pts You need to find some comparable companies to analyze to determine if Winter Holidays debt is over or undervalued. You come across 3 companies that you might be able to use. They are: 1. Red Items, Inc. They make valentine items from plastic. Sales are ~$350mm 1 year and EBITDA -$130mm/year. EV/EBITDA 4.75x 2. Halloween Inc. They make plastic pumpkins for Halloween. Sales are ~$450mm / year and EBITDA -$180mm/year. EV/EBITDA 4x 3. USA Inc. They make US flags. Sales are ~$700mm / year and EBITDA ~$250mm/year. EV/EBITDA 6x Which is the best comp to use? Why? Halloween Inc because their sales and EBITDA are similar O Red Items because they use plastic too Red Items because their sales and EBITDA are similar USA Inc because their EBITDA is similar > Question 33 2 pts Would you recommend that your boss buy $20mm of Winter Holidays bank debt? Why or why not? O Yes, because the enterprise value is greater than the bank debt O No because we should buy the equity instead O No because the enterprise value is less than the bank debt O Yes, because the bank debt doesn't amortize Question 34 2 pts After how many days can creditors put forth a plan of reorganization? O 180 O 120 O 60 090