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29 Valuation Interview Questions and Answers: Mastering the Art of Crackling Interviews

Equilest

Its calculation involves the subtraction of capital expenditures, changes in working capital, and taxes from the company's Earnings Before Interest and Taxes (EBIT). EV is often used in multiples like EV/EBITDA, providing a holistic view, while Equity Value is fundamental in metrics like Price/Earnings (PE) ratio.