medium · Private Equity advanced-lbo
An ABL facility has a borrowing base formula: 85% of eligible Receivables + 60% of eligible Inventory.
If the company has $40M in receivables ($5M overdue >90 days) and $20M in inventory, what is the maximum draw?
- $41.75M
- $36.00M
- $51.00M
- $46.00M
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