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Financial statements of Woodstock Manufacturing Company appear below (note amounts in thousands):

Balance Sheet April 30 (in thousands of dollars)
		2006	2005	2004
Assets:
	Current assets	$ 1,700	$1,120	$1,544
	Plant and equipment (net)	8,110	7,830	5,404
	Other assets	1,004	695	772
	Total assets	$10,814	$9,645	$7,720
Liabilities and Stockholders' Equity:
	Current liabilities	$ 950	$ 880	$ 772
	Long-term liabilities	2,023	1,591	1,544
	Capital stock ($10 par)	4,600	4,600	3,000
	Paid-in capital in excess of par	770	770	386
	Retained earnings	2,471	1,804	2,018
	Total liabilities and stockholders' equity	$10,814	$9,645	$7,720

Income Statement For the Year Ended April 30 (in thousands of dollars)
		2006	2005	2004
Net sales		$38,610	$32,175	$25,740
Cost of sales		25,100	19,950	15,400
	Gross profit	$13,510	$12,225	$10,340
Selling expenses		7,700	6,565	5,148
Administrative expenses		4,270	4,175	3,861
	Total operating expenses	$11,970	$10,740	$9,009
	Operating income	$ 1,540	$ 1,485	$1,331
Interest expense		115	95	100
Net income before tax		$ 1,425	$ 1,390	$1,231
Income taxes		655	645	541
	Net income	$ 770	$ 745	$ 690

What is book value in 2006? In 2005? In 2004? Note that numbers in financial statements are in thousands.

Assume depreciation and amortization expense of $811,000 in 2006 and $783,000 in 2005. What is EBITDA for 2006? For 2005?

What multiple of EBITDA do you believe is suitable to value this business, and why?

What would you determine the value of this business to be at the end of 2006? 2005?

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