She then says: "Here's another question related to the DCF analysis. My team normally uses two approaches to calculate terminal value: the perpetual growth approach and the multiples approach. For the first approach, if we know that nothing in this world lasts forever, why do we assume perpetual growth?"

She then asks "Moving on, say we're comparing two companies that operate in the same industry.Company A has a PE ratio of 10x and company B has a PE ratio of 35x.Can you interpret those two numbers for me?"