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$36 per share. The firm's EBITDA totals $1.62 billion. Assume the firm's debt is priced at par, so the market value of its debt equals its book value What are Edelman's market/book and its EV/EBITDA ratios? Do not round ntermediate calculations. Round your answers to two decimal places.

$36 per share. The firm's EBITDA totals $1.62 billion. Assume the firm's debt is priced at par, so the market value of its debt equals its book value What are Edelman's market/book and its EV/EBITDA ratios? Do not round ntermediate calculations. Round your answers to two decimal places.

Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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Edelman Engines has $20 billion in total assets of which cash and equivalents total $120 million. Its balance sheet shows $4 billion in current liabilities of which the notes payable balance totals $1.1 billion. The firm also has $10 billion in long-term debt and $6 billion in common equity. It has 300 million shares of common stock outstanding, and its stock price is $36 per share. The firm's EBITDA totals $1.62 billion. Assume the firm's debt is priced at par, so the market value of its debt equals its book value. What are Edelman's market/book and its EV/EBITDA ratios? Do not round intermediate calculations. Round your answers to two decimal places. M/B: 1 EV/EBITDA: X -
Transcribed Image Text:Edelman Engines has $20 billion in total assets of which cash and equivalents total $120 million. Its balance sheet shows $4 billion in current liabilities of which the notes payable balance totals $1.1 billion. The firm also has $10 billion in long-term debt and $6 billion in common equity. It has 300 million shares of common stock outstanding, and its stock price is $36 per share. The firm's EBITDA totals $1.62 billion. Assume the firm's debt is priced at par, so the market value of its debt equals its book value. What are Edelman's market/book and its EV/EBITDA ratios? Do not round intermediate calculations. Round your answers to two decimal places. M/B: 1 EV/EBITDA: X -
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