Consider the following data, $,$ for the airline industry for July $2018.$ Discuss the potential challenges of using multiples to value an airline.

All the multiples show a great deal of variation, suggesting the following: $($Select the best choice below.$)$

A$.$ Smaller airlines are more efficient than their larger competitors.

B$.$ Airlines are very diversified nowadays.

C$.$ Ratios were probably computed at different points in time.

D$.$ Profitability and growth varies widely across firms.

Which of these ratios is probably the most useful? $($Select the best choice below.$)$

A$.$ EV$/$Sales

B$.$ EV$/$EBITDA

C$.$ EV$/$EBIT

D$.$ P$/$E

Data table