what is the equity valuation using the constant dividend methodolgy

11 12 Question 25 (3 points) For Bears Enterprises, the total equity valuation using the constant dividned methodology is 14 15 $500 million $166.7 million $16.7 million $66.7 million $666.7 million 17 18 20 21 23 24 19 of 25 questions saved Submit Qulz MacBook Air DOo ity Valuation Bears Enterprises (ticker: BE) is engaged in the business of making athletic shoes. a.lt pays a dividend of$150 per quarter; some people believe it will stay the same and others believe it will grow by 4% per year. b. Other shoe manufacturers trade in the market for 8.0x EBITDA c. Other similar companies also trade with a PE multiple of 18x d.BE has $100mm in short term debt and SS0mm in long term debt; it pays interest at an average annual rate of4% e. Assume a discount rate of 9%. f. BE reported $900 million in Revenue and Net Income of $25mm in its most recent year g. On its balance sheet, BE has $75 mil h. BE's fixed assets were recently appraised at a value of $300mm. i. It reported $5mm in depreciation last year. j. BE trades on NASDAQ and closed yesterday at $90 k. BE has 15 million shares authorized, it has 1 million treasury shares: it has 11 million issued shares LBE has a total tax rate of 25%. lion of Accounts Receivable, $100 million of inventory, 25 million of Accounts Payable, and $150 million of Fixed Assets (PP&E) Dividend Growing Book ValueLiquidation value EBITDAMarket Value PE Method method Dividend MacBook Air