____________Is the Most Widely Used Method of Valuing a Business

question 30

Multiple Choice

____________is the most widely used method of valuing a business, which provides the investor with the best estimate of the probable return on investment.

• A) Dividends.
• B) Historical earnings.
• C) Discounted cash flow valuation
• D) Future earnings.

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Definitions:

Innovation

The act of converting a concept or innovation into a product or service that generates value or is something customers are willing to purchase.

Thomas Friedman

An American journalist, author, and three-time Pulitzer Prize winner known for his work on globalization and the modern world economy.

Immigration

Moving to a different country with the intent to reside there indefinitely.

Opportunity Cost

The lost potential gain from other alternatives when one alternative is chosen.