Author Question: The industry average P/E for the athletics and apparel industry is 18.8. Estimate the fair value of ... (Read 105 times)

roselinechinyere27m · **on:** Jul 10, 2018

The industry average P/E for the athletics and apparel industry is 18.8. Estimate the fair value of Nike's shares based on the industry average multiple and the data supplied in the table, below.

Price 65
EPS 3
Debt 545M
Equity 9,087M
Cash 3,630M
EBITDA 2,770M
Shares 487M

A) 11.43
B) 56.40
C) 65.00
D) 68.00
E) 87.50

Question 2

The Truth in Savings Law requires banks to advertise their rates on investments such as CDs and savings accounts as annual percentage yields (APY).

Indicate whether the statement is true or false.