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NACVA CVA Exam - Topic 6 Question 18 Discussion

Posted by Catarina on May 08, 2022 at 02:07 AM

The second step in capitalized excess earnings method is:

Suggested Answer: A

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13 comments · newest first
LA
Laura 12 months ago
Capitalizing excess economic earnings is step three, right?
YU
Yuette 1 year ago
Wait, are we sure about that? Seems off.
JA
Jarod 1 year ago
Agree, A is the right choice!
KE
Keneth 1 year ago
I thought it was quantifying excess earnings?
YU
Yuki 1 year ago
It's definitely about estimating normalized earnings.
LI
Lizette 1 year ago
I feel like capitalizing the excess economic earnings might be the right answer, but it could also be the estimation of normalized earnings.
OL
Olene 1 year ago
I remember practicing a question like this, and I think it was about quantifying excess earnings.
BO
Bok 1 year ago
I think the second step is about estimating the normalized level of earnings, but I'm not entirely sure.
ST
Staci 1 year ago
I’m leaning towards estimating an appropriate direct capitalization, but I can't recall if that’s the second step or later in the process.
DE
Dean 1 year ago
The 401 Unauthorized response suggests the authentication mechanism is the problem. I'll focus on that.
DI
Dierdre 1 year ago
Hmm, I'm a little unsure about this one. The options don't seem to directly match the question. I'll need to think it through carefully.
JU
Jutta 1 year ago
Hmm, this looks like a tricky one. I'll need to think carefully about how the Amazon RDS API handles errors and what kind of response I should expect.
BA
Barney 1 year ago
I remember a similar question where we discussed RFPs, and I think they also analyze the needs for the system. Could that be an option here?
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