Start learning →

A multiple adding rental costs back before comparing to enterprise value is:

AEV/EBITDAP
BEV/EBITDAR
CEV/EBITDAS
DEV/EBITDAM
Answer & Solution
Correct answer: B. EV/EBITDAR
1. Rent is a major fixed cost in some industries. 2. Adding it back makes leased and owned operations comparable. 3. That multiple is EV over EBITDAR. _Source: OpenStax Principles of Finance 2e, Chapter 11, Stocks and Stock Valuation._
Practise this question with Quill — FINRA Series 63 →

Keep practising Stock Valuation

Browse all Stock Valuation questions for FINRA Series 63, or explore more Finance topics.

Start a Stock Valuation lesson →
Related questions