________ Is a Relatively Straightforward Valuation System That Uses the Industry

question 36

Multiple Choice

________ is a relatively straightforward valuation system that uses the industry in which a start-up operates.

• A)Asset-based valuation
• B)Market estimation valuation
• C)Price/earnings valuation
• D)Discounted future net cash flow

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Definitions:

Insurance Co-pays

Insurance co-pays are fixed amounts that a policyholder must pay out-of-pocket for a covered healthcare service, with the insurance company covering the remaining costs.

Deductibles

The amount paid out of pocket by the policyholder before an insurance policy begins to cover expenses.

Consumer Surplus

The difference between the maximum price a consumer is (or consumers are) willing to pay for an additional unit of a product and its market price; the triangular area below the demand curve and above the market price.

Willing To Pay

The maximum amount an individual is prepared to spend to purchase a good or service or to avoid something undesirable.