1. Which of the following is correct regarding data bases such as Capital IQ, Factset, Bloomberg or Yahoo Finance?

Question 1 options:

	Data bases fit a firm's financial information into their standardized presentation format.
	Data bases obtain a firm's financial information from annual and quarterly reports.
	a) and b).
	None of the above.

Which of the following is correct re performing a DCF sensitivity analysis:

Question 2 options:

	Sensitize only the WACC and Terminal Value.
	Sensitize the key value drivers that will determine the success of the firm.
	None of the above.

When valuing a private company which of the following adjustments made to the firm's income statement that would result in lower profits?

Question 3 options:

	The owner is the landlord and charges the company above market rents
	The owner pays her husband a large salary, but he does not work at the company.
	The owner pays the rent for her uncle's BMW but he does not work at the company.
	The owner is remunerated in dividends and does not take a salary
	None of the above

You must value two business. Firm A has a steady dependable cash flow as it provides necessities of life to its customers. Firm B's cash flow fluctuates dramatically depending on the economy.

Which of the following is correct if the capitalization "Cap" valuation method is used to value the two firms?

Question 4 options:

	Firm A would have the higher Cap rate
	Firm B would have the higher Cap rate
	The Cap rate would be the same for both firms.