Reading 45: Residual Income Valuation-LOS j 习题精选 against, discount, contrast, 2011, class

土豆妮

Session 12: Equity Investments: Valuation Models
Reading 45: Residual Income Valuation

LOS i: Compare and contrast the residual income model to the dividend discount and free cash flow to equity models.

 

 

An argument against using the residual income (RI) valuation approach is that:

A) terminal value does not dominate total present value as is the case in dividend and free cash flow valuation models.

B) the models rely on accounting data that can be manipulated by management.

C) the models focus on economic rather than just on accounting profitability.

---

 

An argument against using the RI approach is that the models rely on accounting data that can be manipulated by management. Both remaining responses are arguments in favor of the approach.

土豆妮

An argument against using the residual income (RI) valuation approach is that:

A) the models rely on accounting data that can be manipulated by management.

B) terminal value does not dominate total present value as is the case in dividend and free cash flow valuation models.

C) the models focus on economic rather than just on accounting profitability.

---

An argument against using the RI approach is that the models rely on accounting data that can be manipulated by management. Both remaining responses are arguments in favor of the approach.

土豆妮

An argument against using the residual income (RI) valuation approach is that:

A) terminal value does not dominate total present value as is the case in dividend and free cash flow valuation models.

B) the models focus on economic rather than just on accounting profitability.

C) the models rely on accounting data that can be manipulated by management.

---

An argument against using the RI approach is that the models rely on accounting data that can be manipulated by management. Both remaining responses are arguments in favor of the approach.

土豆妮

An argument against using the residual income (RI) valuation approach is that:

A) terminal value does not dominate total present value as is the case in dividend and free cash flow valuation models.

B) the models rely on accounting data that can be manipulated by management.

C) the models focus on economic rather than just on accounting profitability.

---

An argument against using the RI approach is that the models rely on accounting data that can be manipulated by management. Both remaining responses are arguments in favor of the approach.

土豆妮

An argument against using the residual income (RI) valuation approach is that:

A) terminal value does not dominate total present value as is the case in dividend and free cash flow valuation models.

B) the models focus on economic rather than just on accounting profitability.

C) the models rely on accounting data that can be manipulated by management.

---

An argument against using the RI approach is that the models rely on accounting data that can be manipulated by management. Both remaining responses are arguments in favor of the approach.

土豆妮

An argument against using the residual income (RI) valuation approach is that:

A) terminal value does not dominate total present value as is the case in dividend and free cash flow valuation models.

B) the models rely on accounting data that can be manipulated by management.

C) the models focus on economic rather than just on accounting profitability.

---

An argument against using the RI approach is that the models rely on accounting data that can be manipulated by management. Both remaining responses are arguments in favor of the approach.

土豆妮

An argument against using the residual income (RI) valuation approach is that:

A) terminal value does not dominate total present value as is the case in dividend and free cash flow valuation models.

B) the models rely on accounting data that can be manipulated by management.

C) the models focus on economic rather than just on accounting profitability.

---

An argument against using the RI approach is that the models rely on accounting data that can be manipulated by management. Both remaining responses are arguments in favor of the approach.

土豆妮

An argument against using the residual income (RI) valuation approach is that:

A) terminal value does not dominate total present value as is the case in dividend and free cash flow valuation models.

B) the models rely on accounting data that can be manipulated by management.

C) the models focus on economic rather than just on accounting profitability.

---

An argument against using the RI approach is that the models rely on accounting data that can be manipulated by management. Both remaining responses are arguments in favor of the approach.

土豆妮

An argument against using the residual income (RI) valuation approach is that:

A) terminal value does not dominate total present value as is the case in dividend and free cash flow valuation models.

B) the models focus on economic rather than just on accounting profitability.

C) the models rely on accounting data that can be manipulated by management.

---

An argument against using the RI approach is that the models rely on accounting data that can be manipulated by management. Both remaining responses are arguments in favor of the approach.

土豆妮

An argument against using the residual income (RI) valuation approach is that:

A) the models rely on accounting data that can be manipulated by management.

B) terminal value does not dominate total present value as is the case in dividend and free cash flow valuation models.

C) the models focus on economic rather than just on accounting profitability.

---

An argument against using the RI approach is that the models rely on accounting data that can be manipulated by management. Both remaining responses are arguments in favor of the approach.