What of the following statement is correct? A. Relative Valuation is much more likely to reflect market perceptions and moods than discounted cash flow valuation. B. With relative valuation, it is unlikely to have a significant proportion of securities that are under-valued and over-valued. C. Relative valuation is not suitable for portfolio managers. You have the following regarding the Brazilian and US market: Equity risk premium for the US: 3% Standard deviation in the Bovespa (Brazilian equity) is 36% Standard deviation in the S&P (US equity) is 12% Estimate the country risk premium for Brazil. A. 6% B. 9% C. 1% 6. Assume that you are valuing a firm that is reporting a loss of $ 500 million, due to a "one-time losses" of $ 2 billion. You find that the firm had reported one- time losses like these once every two years. What is the earnings you would use in your valuation? A. A profit of 500 million B. A loss of 500 million C. A profit of 300 million