GoHabs Firm Has Assets and Liabilities with Book Values of $65

question 73

Multiple Choice

GoHabs Firm has assets and liabilities with book values of $65 million and $35 million, respectively.The market value of the assets is $75 million and the market value of the debt is $40 million.If GoHabs's EBITDA is $20 million, what is the EBITDA multiple?

• A)0.67
• B)1.50
• C)1.75
• D)3.75

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