The financial analysis tool that takes into account the entire capital structure of the firm is the ____.
A) EBITDA multiple
B) price-to-book ratio
C) P/E ratio
D) total asset turnover ratio

Question

Quizplus · Accepted Answer

The EBITDA multiple considers earnings before interest, taxes, depreciation, and amortization, thus reflecting the financial performance of a company including its entire capital structure (debt and equity).

The Financial Analysis Tool That Takes into Account the Entire