When performing comparable analysis the ideal comparable firm will have each of the following characteristics EXCEPT: it...

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Finance

When performing comparable analysis the ideal comparable firmwill have each of the following characteristics EXCEPT:

it has similar risk as measured by variance.

it has similar growth of cash flow prospects.

these are all desirable comparables.

it has a similar dividend payout.

When performing comparable analysis the ideal comparable firmwill have each of the following characteristics EXCEPT:

it is of a similar size.

these are all desirable comparables.

it is in a similar industry.

it has similar risk as measured by beta.

Based solely on risk considerations, a mixed debt and equityfirm does not have to worry about any financial obligations relatedto creditors.

True

False

All else equal, an individual investor would prefer ________even if rates on both are equal, since ________ can bedeferred.

dividends to capital gains; capital gains

dividends to capital gains; dividends

Investors are indifferent to capital gains vs dividends.

capital gains to dividends; capital gains

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Performing Comparable analysis the ideal comparable firm should have the following characteristics 1 The Industry of the ideal comparable firm should be same as that of the firm under analysis 2 The Size of the comparable firm should be same as that of the firm under analysis The size can be estimated based    See Answer
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When performing comparable analysis the ideal comparable firmwill have each of the following characteristics EXCEPT:it has similar risk as measured by variance.it has similar growth of cash flow prospects.these are all desirable comparables.it has a similar dividend payout.When performing comparable analysis the ideal comparable firmwill have each of the following characteristics EXCEPT:it is of a similar size.these are all desirable comparables.it is in a similar industry.it has similar risk as measured by beta.Based solely on risk considerations, a mixed debt and equityfirm does not have to worry about any financial obligations relatedto creditors.TrueFalseAll else equal, an individual investor would prefer ________even if rates on both are equal, since ________ can bedeferred.dividends to capital gains; capital gainsdividends to capital gains; dividendsInvestors are indifferent to capital gains vs dividends.capital gains to dividends; capital gains

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