- CFA Exams
- CFA Level I Exam
- Topic 5. Equity Valuation
- Learning Module 25. Private Company Valuation
- Subject 3. Definitions (Standards) of Value
CFA Practice Question
______ 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.
Correct Answer: A
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. |