If You Want to Value a Firm but Do Not

question 47

Multiple Choice

If you want to value a firm but do not want to explicitly forecast its dividends,what is the simplest model for you to use?

• A)the discounted free cash flow model
• B)the dividend-discount model
• C)the enterprise value model
• D)None of the above models can be used if you do not want to forecast dividends or use of debt.

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Made uniform or consistent by applying a set of norms or standards.

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Standardized methods or protocols that are implemented consistently across different situations or environments.

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The process or activity of running a business or organization, including the management of operations and decision-making.

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Statistical standards that describe the distribution of scores obtained by a specific group of test takers, which serve as a reference point to interpret individual scores.