Multiplying a venture's earnings by a price-earnings ratio represents a form of direct comparison valuation.

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Multiplying a venture's earnings by a price-earnings ratio is a common method used for direct comparison valuation. This approach involves comparing the price of a company's stock to its earnings per share, which gives investors an idea of the company's overall value compared to other similar companies.

Multiplying a Venture's Earnings by a Price-Earnings Ratio Represents a Form