问题如下:
Which of the following is most likely considered a weakness of present value models?
选项:
A. Present value models cannot be used for companies that do not pay dividends.
B. Small changes in model assumptions and inputs can result in large changes in the computed intrinsic value of the security.
C. The value of the security depends on the investor’s holding period; thus, comparing valuations of different companies for different investors is difficult.
解释:
B is correct.
Very small changes in inputs, such as required rate of return or dividend growth rate, can result in large changes to the valuation model output. Some present value models, such as FCFE models, can be used to value companies without dividends. Also, the intrinsic value of a security is independent of the investor’s holding period.
请问B是什么意思?没看懂