Which of the following is not a qualitative technique an entrepreneur can use to evaluate the asking price of an LBO?
A)The competitive position of the firm
B)The uniqueness of the firm's offerings
C)Price-earnings ratio
D)The abilities of management and other key personnel

Question

Quizplus · Accepted Answer

Price-earnings ratio is a quantitative technique used to evaluate the asking price of an LBO, as it involves analyzing a company's financials. The other choices, such as considering the competitive position, uniqueness of offerings, and abilities of management, are qualitative techniques that involve assessing the subjective strengths and weaknesses of the company.

Which of the Following Is Not a Qualitative Technique an Entrepreneur