Question: 4.Indicate, by clicking on the relevant boxes, whether the following statements are true or false in relation to business valuation. The earnings yield method

4.Indicate, by clicking on the relevant boxes, whether the following statements are

4.Indicate, by clicking on the relevant boxes, whether the following statements are true or false in relation to business valuation. The earnings yield method and the dividend growth model should give similar values for a company TRUE FALSE Market capitalisation represents the maximum value for a company TRUE FALSE The price/earnings ratio is the reciprocal of the earnings yield TRUE FALSE The price/earnings ratio should be increased if the company being valued is riskier than the valuing company TRUE FALSE 5.Small and medium-sized entities (SME) have restricted access to capital markets. The difference between the finance required to operate an SME and the amount obtained is known as the Forecasted gap Maturity gap Asset gap Funding gap Pick 1 option

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