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

Question 58

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) 0.57
B) 0.67
C) 1.50
D) 1.75

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