Price to Sales Multiple Question framework, advantage, reference, following, management

Spongebob

This is an question from the kaplan Qbank with reference Id 96399

Which of the following is least likely an advantage of using price/sales (P/S) multiple?


A) P/S multiples are more reliable because sales data cannot be distorted by management.

B) P/S multiples provide a meaningful framework for evaluating distressed firms.

C) P/S multiples are not as volatile as P/E multiples and hence may be more reliable in valuation analysis.


Please. Explain your answer.
Thanks in advance.