Which of the Following Represent Two Major Approaches Used to Value

question 10

Multiple Choice

Which of the following represent two major approaches used to value stocks?

• A) Discounted cash flow techniques and absolute valuation techniques
• B) Discounted cash flow techniques and relative valuation techniques
• C) Compound free cash flow techniques and relative valuation techniques
• D) Markowitz diversification techniques and relative valuation techniques

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Definitions:

Pounds

A unit of weight in the imperial system, used primarily in the United States, equivalent to 0.453592 kilograms.

Kilograms

A unit of mass in the metric system, widely used globally in science, industry, and medicine to measure body weight or substance amounts.

Conversion Formula

A mathematical equation used to change a measurement from one unit to another.