The book seller should invest in the extra space.
<u>Explanation:</u>
As per the given data:
rent for the additional space given is $300 per year, the additional profit that will be pulled by adding on the space = $4000 per year, the current rate of interest given is = 12%
In order to calculate about the decision, the present values needs to be calculated first
The present value of the investment = (- $ 3000 plus $ 4000) by 1.121
The present value of the investment = $ 571.43
The present value of the investment is positve, hence the book seller should invest in the extra space.
Answer:
352,000
Explanation:
add up all the numbers, then you divide by 3
Answer:
enterprise value to EBITDA.
Explanation:
The computation of the value of the stock using P/E ratio is shown below:-
Stock value = (P/E ratio × EPS) × Number of shares outstanding
= (12.9 × $2.33) × 5.3 million
= 159.3021 million
Now, the computation of the value of the stock using EBITDA multiple is shown below:-
Stock value = (EBITDA multiple × EBITDA) - Net debt
= (7.1 × $29.3 million) - $125 million
= 208.03 - $125 million
= 83.03
There is no equivalent corporate debt. It is easier to make a comparison at the operating level and thus a better measure of valuation is the enterprise value to EBITDA.
Answer:
2. 9 million
Explanation:
We know that
Unemployment rate = Number of unemployed workers ÷ Civilian labor force
6% = Number of unemployed workers ÷ 150 million
So, the number of unemployed workers would be
= 150 million × 6%
= 9 million
We simply applied the unemployed rate so that the number of unemployed workers could come
All other information given is of no significance. So, ignored it
