Question: Read the text and select a valuation method to explain and apply to your final project company. How would you apply the valuation method you
Read the text and select a valuation method to explain and apply to your final project company. How would you apply the valuation method you selected to your company?
The choices are cash flow based or earnings based.
My company is Netflix. I am thinking that the earnings based method, because Netflix has negative cash flow, and I feel pretty confident about that much of the concept, but as to the application of it, I am lost. The book shows all these formulas, which I have never been able to just read them and do the math with just a formula. If someone could explain how it is applied without really focusing on the formulas, I would greatly appreciate it!
Thanks!
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