The target company has sales of $2 million, net income of $1 million, and cash flows to equity of $1.1 million.The industry P/E ratio is 16.5.What is the valuation of the target company?
A)$16.5 million
B)$33 million
C)$18.15 million
D)$10 million

Question

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The Answer of The target company has sales of $2 million, net income of $1 million, and cash flows to equity of $1.1 million.The industry P/E ratio is 16.5.What is the valuation of the target company?
A)$16.5 million
B)$33 million
C)$18.15 million
D)$10 million

The Target Company Has Sales of $2 Million, Net Income