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NACVA CVA Exam - Topic 2 Question 21 Discussion

Posted by Yvonne on May 07, 2022 at 07:13 AM

(1) Partly because of its fairly wide dissemination (2) Partly because of its apparent simplistic nature, _______________ valuation method is widely adopted in one form or another for other valuation purposes, such as material dissolution.

Suggested Answer: A

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13 comments · newest first
BE
Becky 12 months ago
Capitalized access earning method is also widely used, though!
AR
Arthur 1 year ago
Really? I always thought discounting a terminal value was more complex.
DA
Darell 1 year ago
Wait, isn’t the Market based approach more common?
EV
Eva 1 year ago
Totally agree, it’s super straightforward!
CA
Cathern 1 year ago
I think the Asset-based approach fits here.
LE
Leatha 1 year ago
I have a feeling it’s the Capitalized access earning method, but I can't recall why it’s considered simplistic. Need to double-check my notes!
RE
Remona 1 year ago
I'm a bit confused about the options. I feel like Discounting a terminal value is more specific and not as widely adopted as the others.
VE
Veronika 1 year ago
I remember practicing a question similar to this, and I think the Asset-based approach could fit here too. It seems like a common method.
CA
Carri 1 year ago
I think the answer might be the Market based approach since it's often used for various valuation purposes, but I'm not entirely sure.
MA
Maybelle 1 year ago
Hmm, I'm a little unsure about this one. I know the different classes of anti-diabetic meds, but I'm not totally clear on their specific mechanisms of action in the pancreas. I'll need to review my notes to make sure I select the right options. Better to take my time and get it right than rush through and get it wrong.
ER
Erick 1 year ago
This looks straightforward enough. I'll use a stream to group the sales by customer, then sum the book prices for each customer and sort the results.
DA
Darrin 1 year ago
I'm leaning towards B too, but what about the difference in how the commands are structured? Like in C, it seems completely off.
TR
Tresa 1 year ago
I kind of remember we talked about service-oriented design, but I'm not sure if it's exactly the same for all service models.
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