Using the market multiple method to estimate a target company's value, the second step is to calculate for each comparable firm the ratio of its observed market value to:
a. book value.
b. earnings per share.
c. net income.
d. any metric that applies to the target firm and the comparable firms.
e. sales.
a. book value.
b. earnings per share.
c. net income.
d. any metric that applies to the target firm and the comparable firms.
e. sales.