The end result is that the client paid 10% of the total purchase price for the 20% of the company that he needed.
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Believe it or not, if you add up all the costs of operating a car for five years, the total expense will equal, if not surpass, the original purchase price of the car.
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The purchase price--13% of E-Trade's total equity at the time--was 174 times Telebanc's earnings for the year.
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