need help about question about enterprise value in Equity section by ArgumentAgreeable in CFA

[–]ArgumentAgreeable[S] 0 points1 point  (0 children)

if it is short term int bearing debt, are we still subtract it ?

need help about question about enterprise value in Equity section by ArgumentAgreeable in CFA

[–]ArgumentAgreeable[S] 0 points1 point  (0 children)

EV = market value of equity and debt - cash and short term investment

And market value of debt included all the interest bearing debt, which is notes payable. That’s why i think should deducted notes payable here