Which of the Following Statements Is True About Business Valuation

question 82

Multiple Choice

Which of the following statements is true about business valuation?

• A) The valuation of business is solely about how much return a business provides to its stockholders.
• B) There is a single value for any business.
• C) There is no such thing as the value for a business.
• D) The value of a business is solely affected by investment managers' decision.

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Definitions:

Practical Intelligence

Refers to the ability to solve everyday problems through skilled reasoning that relies on tacit knowledge.

Predictors

Variables or factors that can be used to forecast future events or outcomes based on past or current data.

Cultural Influence

The impact that the beliefs, values, and practices of a culture have on the behavior and attitudes of individuals within that culture.

Raven's Progressive Matrices

A non-verbal group test typically used to measure abstract reasoning and regarded as a non-verbal estimate of fluid intelligence.