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Important Issues That One Must Consider in Valuing Private Companies

Question 73

Multiple Choice

Important issues that one must consider in valuing private companies include


A) whether key people remain in the company, the amount of dividends that one may receive in the coming years, and whether a controlling ownership interest or a minority interest is being valued.
B) the difficulty in valuing young, rapidly growing companies in contrast to mature, stable companies, the amount of dividends that one may receive in the coming years, and whether a controlling ownership interest or a minority interest is being valued.
C) the difficulty in valuing young, rapidly growing companies in contrast to mature, stable companies, whether key people remain in the company, and whether a controlling ownership interest or a minority interest is being valued.
D) None of the above.

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