Question: Using the information in the table, answer the questions: Industry average EV to EBITDA multiple 6.5 x Company ABC data : EBITDA (normalized) 40m Market

Using the information in the table, answer the questions:

Industry average EV to EBITDA multiple

6.5 x

Company ABC data:

EBITDA (normalized)

40m

Market value of debt

4.8m

1. What is the ABC company value? (use the market-based approach) and What is the ABC companys equity value?

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