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CEPA CE Questions With Complete Answers, Solved To Score A+
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CEPA CE Questions With Complete Answers, Solved To Score A+
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CEPA CE Questions With Complete Answers, Solved To Score A+CEPA Module 5 Question 1: What are the first two major deliverables within Gate 1 of the Value Acceleration Methodology™? Answer- A Business Valuation and Personal, Financial, Business Assessment
CEPA Module 5 Question 2: In what gate would you utilize a business valuation? Answer- Gate 1
CEPA Module 5 Question 3: What is a common exit readiness issue? Answer- No personal goals and objectives
Shareholders/family members aren't on the same page
Credibility of financial information
CEPA Module 5 Question 4: Year over year growth in sales and profit would benefit a company's: Answer- Attractiveness
CEPA Module 5 Question 5: A business attractiveness score of 67% is considered: Answer- Above average
CEPA Module 5 Question 7: Strong customer loyalty, staff longevity, and organized financials are all examples of ____. Answer- Business attractiveness strengths
CEPA Module 5 Question 8: Homes, cars, and travel charged through the business are all examples of ____. Answer- Discretionary expenses
CEPA Module 5 Question 9: The Triggering Event promotes owner action ___% of the time. Answer- 70%
CEPA Module 5 Question 10: A business's Range of Value (ROV) multiple is determined by _____. Answer- The private capital market
CEPA Module 6 Question 1: Why would an owner want to have a business valuation
performed on their company? Answer- Divorce
Ownership transfer to family
Installing an ESOP CEPA Module 6 Question 2: Which of the following is NOT a standard of value when
it comes to business valuation? Answer- Hypothetical value
Investment value
Fair market value
Fair value
CEPA Module 6 Question 3: Which of the following is not one of the three broad approaches to determining value? Answer- Liquidity
Income
Market
Asset
CEPA Module 6 Question 4: In the income approach to business valuation, which method is predicated on a specific future look at economic benefits? Answer- Discounted cash flow method
CEPA Module 6 Question 5: What are the two most common types of transactions during a business sale? Answer- Asset Sale and Stock Sale
CEPA Module 6 Question 6: Which Standard of Value can lead to unrealistic seller expectations? Answer- Emotional Value
CEPA Module 6 Question 7: There are three broad approaches to determining value.
The income approach, the market approach, and the ____ approach. Answer- Asset
approach
CEPA Module 6 Question 8: A ____ buyer may consider purchasing a company in order to enter a new market or obtain new intellectual property. Answer- Strategic buyer
CEPA Module 6 Question 9: The complexity of Value Acceleration should be _____ during the Discovery Gate. Answer- Low
CEPA Module 6 Question 10: _____ is the value to a particular investor based on individual investment requirements and expectations. Answer- Investment Value
CEPA Module 7 Question 1: What are some categories to evaluate and compare to other companies in the marketplace? Answer- Market growth
Equipment condition
Products and sales
CEPA Module 7 Question 2: What is the timeframe most private companies can increase their value and should begin their value growth? Answer- Three to five years
CEPA Module 7 Question 3: Which of the following is NOT considered a strategy for increasing enterprise value? Answer- Conduct a Triggering Event Increase earnings
Reduce risk
Position yourself as best-in-class
CEPA Module 7 Question 4: Which stage of the business transition journey would a business owner fall into if they were to begin reviewing their options but are not ready to commit to advisory services? Answer- Exploring
CEPA Module 7 Question 5: Which of the following is considered a Value Domain? Answer- Culture
Sales and Marketing
Risk
CEPA Module 7 Question 6: Value Acceleration must deliver two out of three Answer- Clarity
Liquidity
Legacy
CEPA Module 7 Question 7: If Company A earns more revenue per year than Company B, what would be a reason as to why a buyer might still find Company B more attractive? Answer- Company B is less reliant on their owner
CEPA Module 7 Question 8: Value Acceleration looks to provide a business with less
____. Answer- Volatility
CEPA Module 7 Question 9: Value Acceleration often follows a J-curve, meaning things can get worse before they get better. But the purpose of a good value growth program is to: Answer- Ensure the trough of things worsening is shallower and shorter
CEPA Module 7 Question 10: When a client provides you with data points about their
business, it is important to: Answer- Trust but verify
CEPA Module 8 Question 1: How does creating a vision help focus a business owner? Answer- Expresses personal values
Drives inspiration
Directs focus and movement forward
CEPA Module 8 Question 2: In which gate of the Value Acceleration Methodology should you create a prioritized action plan? Answer- Discover
CEPA Module 8 Question 3: What are the three key success areas a business owner's goals and objectives should focus on? Answer- Business, Financial, and Personal
CEPA Module 8 Question 4: When is a good time to establish goals and objectives with a business owner within the Value Acceleration Methodology™? Answer- After discovering and discussing themes from the Triggering Event with the business owner
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