Ways to Value a Business Include Comparison to Other Firms

question 31

Multiple Choice

Ways to value a business include comparison to other firms, benchmarking, or looking at a multiple of net earnings. Any of the methods is an attempt to arrive at a ________.

• A) Fair market value
• B) Future value
• C) Most profitable price
• D) Net present value
• E) Gross profit

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Definitions:

Improvement Goals

are objectives set to enhance the effectiveness, efficiency, productivity, or quality in personal or professional areas.

Recognized

Identified or acknowledged for one's achievements, qualities, or status.

Quality

The degree of excellence of a thing; a virtue resulting from superior form, function, beauty, utility, fit, and other valuable attributes; the character of a person or thing that makes it desirable. See excellence.

Time Factors

Elements that influence the timing and duration of processes or events, affecting planning and decision-making in various contexts.