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Basic Question 0 of 4
Which of the following best describes the equity risk that arises from the capital structure of a firm?
B. Diversifiable risk
C. Systematic risk
D. Business risk
E. Unsystematic risk
A. Financial risk
B. Diversifiable risk
C. Systematic risk
D. Business risk
E. Unsystematic risk
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I was very pleased with your notes and question bank. I especially like the mock exams because it helped to pull everything together.

Martin Rockenfeldt
Learning Outcome Statements
contrast the method of comparables and the method based on forecasted fundamentals as approaches to using price multiples in valuation, and explain economic rationales for each approach;
calculate and interpret a justified price multiple;
describe rationales for and possible drawbacks to using alternative price multiples and dividend yield in valuation;
CFA® 2025 Level II Curriculum, Volume 4, Module 23.