Question: Under what conditions do earning ratio methods yield the same result as DCF approaches? When earning reflect cash flow and have low invested capital When

Under what conditions do earning ratio methods yield the same result as DCF approaches?

  1. When earning reflect cash flow and have low invested capital
  2. When earning reflect the growth and have high invested capital
  3. They can never be the same
  4. When earning reflect cash flow but have high invested capital

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!