Exam (elaborations)
CEPA Session 2: Questions With Accurate Solutions
- Course
- Institution
CEPA Session 2: Questions With Accurate Solutions
[Show more]
Content preview
CEPA Session 2: Questions With Accurate SolutionsAll engagement should start with the ________ event, because it promotes action
Right Ans - All engagement should start with the triggering event, because it
promotes action
The _______ ________ identifies the value gap and the profit gap Right Ans - A
Triggering Event
Tax Number (lowest value) vs Real Number. In real number, only ________
assets are used. ________ assets are not included Right Ans - Only tangible
assets are included. Intangible assets are not included
TO get from the tax number to the real number, its net income +/_ ________
Right Ans - adjustments
(may include inventory write offs, A/R Write offs, assets write offs, debt
payoffs)
Adjusting numbers to include an "inaccurate" salary for an owner would be
considered a Right Ans - normalized adjustment
Another possible way of getting more cash out of this business, that needs to
be a normalizing adjustments, is paying themselves too much in Right Ans -
rent
Another common cost that needs to be taken into account for normalized
adjustments is ________ / ________ costs that are deducted by the business
Right Ans - personal / discretionary
One-time, non-recurring expenses also need to be Right Ans - normalized
How attractive a business is from a third-party point of view is an ________
score Right Ans - Attractiveness Score
How ready an owner and the business is to transition is the ________ score
Right Ans - Readiness score
The two reports that are deliverables of the Triggering event are: Right Ans
- Business Valuation Report
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller LeCrae. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $8.99. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
75323 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now