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Basic Question 2 of 5
______ is the price which a knowledgeable, willing and unpressured buyer would pay to a knowledgeable, willing, and unpressured seller in an open and unrestricted market.
B. Market value.
C. Fair value.
A. Fair market value.
B. Market value.
C. Fair value.
User Contributed Comments 2
| User | Comment |
|---|---|
| warnggg | Why not MV? |
| michaelcfa | @warnggg: The market value is determined by supply and demand. It is not necessarily a fair number. |
I passed! I did not get a chance to tell you before the exam - but your site was excellent. I will definitely take it next year for Level II.
Tamara Schultz
Learning Outcome Statements
describe uses of private business valuation and explain applications of greatest concern to financial analysts;
CFA® 2025 Level II Curriculum, Volume 4, Module 25.