Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Problem
You are supposed to calculate the equity value of a private firm. Here is the financial statements of the private firm ( in thousands) :
2016
Current Assets
Cash and equivalents
$20,000
Receivables
40,000
Inventories
29,000
Other current assets
23,000
Total current assets
$112,000
Noncurrent Assets
Property, plant, and equipment
$145,000
Less: Accumulated depreciation
43,000
Net property, plant, and equipment
102,000
Investments
70,000
Other noncurrent assets
36,000
Total noncurrent assets
208,000
Total assets
$320,000
Current Liabilities
Accounts payable
$41,000
Short-term debt
12,000
Other current liabilities
17,000
Total current liabilities
$70,000
Noncurrent Liabilities
Long-term debt
100,000
Total noncurrent liabilities
Total liabilities
170,000
Shoreholders' Equity
Common equity
Retained earnings
110,000
Total equity
150,000
Total iabilities and equity
Sales
$250,000
Cost of goods sold
125,000
Gross operating profit
Selling, general, and administrative expenses
50,000
EBITDA
75,000
Depreciation and amorization
10,500
EBIT
64,500
Interest expense
11,000
Pretax income
53,500
Income taxes
16,050
Net income
$37,450
Shares outstanding
13,000
EPS
2.88
You also find the following four competitors and their enterprise value and EBITD:
($ millions)
APU
PRAX
AIT
ARG
Enterprise Value
31,140
47,400
2,010
10,454
2,481
3,703
197
943
A) What is the enterprise value of the private firm based on the EBITDA multiple valuation?
B) What is the equity value? What is the equity value per share?
Assume you buy a share of stock at $29, it pays $1.97 in dividends, and you sell it 237 days later for $22. What is your annualized return? Enter a negative percentage for a loss and assume a 365-day year.
BioCom, Inc. is weighing a proposal to manufacture and market a fiber-optic device that will continuously monitor blood pressure during cardiovascular surgery and other medical procedures in which precise, real-time measurements are critical. Compute..
RealTurf is considering purchasing an automatic sprinkler system for its sod farm by borrowing the entire $45,000 purchase price.
What is the profitability index (PI) of the project, if the company’s cost of capital is 8.80 percent?
What is the lowest possible per shovel price that Merton can offer for the contract and still create value for its stockholders?
Using the following data, calculate the estimated total revenues for fiscal year 6 (FY6), using 1) proportional change method,
Industrial buildings are favored by real estate developers for all of the following reasons except:
For Gilead Science (GILD) create a financial analysis for the last reported fiscal year (2016):
A corporate bond with a 6 percent coupon was issued last year. Which one of these would apply to this bond today if the current yield to maturity is 7 percent?
You receive a loan for $11,931 where the APR is 7.6%, Compute the amount you must pay for the remainder of the loan."
Identify two situations when you can apply the concepts of Bonds and Their Valuations in the New York Stock Exchange.
choose an item that you would like to manufacture. nbspyou do not actually need to manufacture something but will
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd