Calculate equity IRR for an LBO with the following assumptions. ...
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Accounting
Calculate equity IRR for an LBO with the following assumptions.
| Entry EBITDA | 300.0 |
| Acquisition EBITDA multiple | 11.0 x |
| Debt financing, entry | 1,600.0 |
| Investment time horizon, years | 4.0 |
| Exit EBITDA | 440.0 |
| EBITDA multiple, exit | 10.0 x |
| Total amount of debt repaid | 255.0 |
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