Edelman Engines has $20 billion in total assets of which cash and equivalents total $110 million.
View the step-by-step solution to:

Question

Edelman Engines has $20 billion in total assets — of which cash and equivalents total $110 million. Its balance

sheet shows $3 billion in current liabilities — of which the notes payable balance totals $0.98 billion. The firm also has $9 billion in long-term debt and $8 billion in common equity. It has 500 million shares of common stock outstanding, and its stock price is $26 per share. The firm's EBITDA totals $1.56 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.



M/B: 


EV/EBITDA: 

Top Answer

Sign up to view the full answer

Why Join Course Hero?

Course Hero has all the homework and study help you need to succeed! We’ve got course-specific notes, study guides, and practice tests along with expert tutors.

-

Educational Resources
  • -

    Study Documents

    Find the best study resources around, tagged to your specific courses. Share your own to gain free Course Hero access.

    Browse Documents
  • -

    Question & Answers

    Get one-on-one homework help from our expert tutors—available online 24/7. Ask your own questions or browse existing Q&A threads. Satisfaction guaranteed!

    Ask a Question