Which of the following would likely be the most useful when valuing a dot.com company?
A) Net asset value
B) Dividend yield
C) Discounted cash flow
D) Price-earnings

Question

Quizplus · Accepted Answer

Valuing a dot.com company would require the use of discounted cash flow, as these companies are typically in their growth phase and may not have significant net assets or pay dividends. A price-earnings ratio could also be useful in comparing the company to its competitors, but discounted cash flow would provide a more comprehensive valuation.

Which of the Following Would Likely Be the Most Useful