In the method of comparables, the known values of a firm's cash flows are used to estimate the unknown cash flows of a similar firm.

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This statement is true. The method of comparables is a valuation technique where the financial information of similar companies is used to estimate the value of a company or its financial performance. This technique assumes that similar companies will have similar cash flows and therefore their financial information can be used to estimate the financial performance of the company being valued.

In the Method of Comparables, the Known Values of a Firm's