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Business, 26.11.2019 19:31 mccauley

Which of the following statements concerning the valuation of firms using the method ofcomparables is false? a) if two different firms generate identical cash flows, the law of one price will imply thatboth firms have the same value. b) comparables adjust for scale differences when valuing similar firms. c) valuation multiples take into account differences in the risk and future growth betweenthe firms being compared. d) two firms that sell very similar products or offer very similar services will have differentvalues if they are of different sizes

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