- CFA Exams
- CFA Exam: Level II 2021
- Study Session 11. Equity Valuation (3)
- Reading 29. Market-Based Valuation: Price and Enterprise Value Multiples
- Subject 1. Price multiple valuation methods
CFA Practice Question
What models provide the basis and rationale for the method which is based on forecasted fundamentals?
B. Discounted cash flow models.
C. The law of one price.
A. P/E comparables.
B. Discounted cash flow models.
C. The law of one price.
Correct Answer: B
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