Which of the following statements is most likely correct? Enterprise value:

Question

A. is incapable of reflecting the real economic value of a company.

B. is prone to the negative earnings problem because of the use of EBITDA.

C. is applicable to the comparisons of companies with significantly different capital structures..

Mohammed Asim Nehal · Answer

Option c is the correct answer.

Shahbaz Hayder · Answer

Yes, Option C is the right answer.

Zehab Osman · Answer

C-----------------------------------------------

Shazia Anees · Answer

C. is applicable to the comparisons of companies with significantly different capital structures.

Muhammad Sohail Sohail · Answer

is incapable of reflecting the real economic value of a company.

Shepherd Kapayapundo · Answer

is prone to the negative earnings problem because of the use of EBITDA.