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Subject:  Enterprise "Value"? Date:  5/3/2006  11:00 AM
Author:  pondee619 Number:  757 of 766

If you paid $52 billion for Disney, you would actually end up with a total bill of $63 billion, because the company comes with a lot of debt. The enterprise value reminds all investors, large and small, that debt is a cost to the business.

So lots of debt makes the Enterprise value higher? Isn't it more like Enterprise Cost?

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