The ________ approach to valuing a business uses the price-earnings ratios of similar businesses to establish the value of a company

A) balance sheet
B) capitalized earnings
C) discounted future earnings
D) market

Answer: D

Business

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A ten-year annuity pays $100 each year. The market discounts it at a yield of 5%. Which of the following changes will cause its present value to increase? Choose two

a) An increase in its maturity to eleven years b) An increase in yield to 6% c) An increase in cash flow to $110

Business

Professional leagues have organized themselves in a manner consistent with a corporate governance model.

A. True B. False

Business