medium · Private Equity paper-lbo

An analyst is given an exit equity value of $800 million and an entry equity of $250 million.

If the EBITDA growth contribution to equity was $400 million and there was no multiple expansion, what was the debt paydown contribution to the MOIC?

  1. 1.60x
  2. 3.20x
  3. 2.20x
  4. 0.60x

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