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The residual income valuation model is a rigorous and straightforward valuation approach, but the analyst should be aware of all of the following implementation issues
The residual income valuation model is a rigorous and straightforward valuation approach, but the analyst should be aware of all of the following implementation issues that will hinder its ability to measure firm value correctly except:
common stock transactions
portions of net income attributable to equity claimants other than common shareholders
dirty surplus accounting items
positive book value of equity
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