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💰 Valuation
Medium
Calculate Enterprise Value: EPS = $2, shares outstanding = 100M, P/E = 4x, Debt = $200, NCI = $75, Cash = $50, Inventory = $100.
Answer
Equity Value = EPS × Shares × P/E = $2 × 100M × 4 = $800M. EV = Equity + Debt + NCI − Cash = $800 + $200 + $75 − $50 = $1,025M.
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