Technical question

Hi - would you guys know how to tackle this question?

Suppose you buy a business @8x Ebitda and believe you could sell it in 5 years @ the same 8x multiple. Your required rated of return is 20%. Assume that banks are willing to lend yp tp 4x Debt/Ebitda and that half of debt would get repaid after 5 years. How much do you need to grow EBITDA by within this timeframe?

I would say Ebitda need to grow to 4.5x by end 5th year…?

At the bottom of this tutorial, there’s a link to the excel file. Just enter your assumptions and goal seek or trial and error, this is an extremely rudimentary model. Unfortunately I do not have excel on my tablet, but perhaps someone else can confirm the numbers.