1. Using the following information detailed below, calculate the percentage of equity contribution $180m Total usage Total debt 9.0x 5.0 x 1.0 x $30m EBITDA Entry multiple Senior debt multiple Mezzanine debt multiple Transaction expenses Select one: 3.43.6% D. 52.8% c. 34.5% d. 32.7% Equity contri Equity contri 1,650.00 1,080.00 570 34.50%
1. Using the following information detailed below, calculate the percentage of equity contribution $180m Total usage Total debt 9.0x 5.0 x 1.0 x $30m EBITDA Entry multiple Senior debt multiple Mezzanine debt multiple Transaction expenses Select one: 3.43.6% D. 52.8% c. 34.5% d. 32.7% Equity contri Equity contri 1,650.00 1,080.00 570 34.50%
Chapter11: Capital Budgeting Decisions
Section: Chapter Questions
Problem 11Q: What is the equation to calculate the accounting rate of return?
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Financial Ratios
A Ratio refers to a figure calculated as a reference to the relationship of two or more numbers and can be expressed as a fraction, proportion, percentage, or the number of times. When the number is determined by taking two accounting numbers derived from the financial statements, it is termed as the accounting ratio.
Return on Equity
The Return on Equity (RoE) is a measure of the profitability of a business concerning the funds by its stockholders/shareholders. ROE is a metric used generally to determine how well the company utilizes its funds provided by the equity shareholders.
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![1. Using the following information detailed below, calculate the percentage of equity contribution.
$180m
9.0 x
5.0 x
Mezzanine debt multiple 1.0 x
Transaction expenses
$30m
EBITDA
Entry multiple
Senior debt multiple
Select one:
a. 43.6%
b. 52.8%
c. 34.5%
d. 32.7%
Total usage
Total debt
Equity contri
Equity contri
1,650.00
1,080.00
570
34.50%](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fc47a6074-5690-4b3e-959e-09e22f9ce8dd%2Fc255b4e5-b3b7-429b-b966-313f1b0222b5%2F319hjb5_processed.png&w=3840&q=75)
Transcribed Image Text:1. Using the following information detailed below, calculate the percentage of equity contribution.
$180m
9.0 x
5.0 x
Mezzanine debt multiple 1.0 x
Transaction expenses
$30m
EBITDA
Entry multiple
Senior debt multiple
Select one:
a. 43.6%
b. 52.8%
c. 34.5%
d. 32.7%
Total usage
Total debt
Equity contri
Equity contri
1,650.00
1,080.00
570
34.50%
![Using the following information detailed below, calculate the
percentage of equity contribution.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fc47a6074-5690-4b3e-959e-09e22f9ce8dd%2Fc255b4e5-b3b7-429b-b966-313f1b0222b5%2F3qd58ld_processed.png&w=3840&q=75)
Transcribed Image Text:Using the following information detailed below, calculate the
percentage of equity contribution.
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