alleryStart learning →Buy at Rs 200 crore with Rs 120 crore debt; sell at Rs 260 crore with Rs 60 crore debt left. Equity multiple?
A1.3 times
B1.7 times
C2.5 times
D3.25 times
Answer & Solution
Correct answer: C. 2.5 times
Equity invested is 80 and exit equity is 260 minus 60 = 200, so the multiple is 200 divided by 80 = 2.5 times.
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