Valuation models use the relationship between share value, future cash flow, and the cost of capital to estimate these quantities for a given firm. Relastically, for a publicly traded firm, what can we relaiably use models to determine?

1. the firms future cash flow.

2. the firm's cost of capital.

3. The firm's market price.

A) 1 only

B) 2 only

C) 3 only

D) 1 and 2