Changes in the Key Assumptions Underlying the Estimation of a Firm's

Multiple Choice

Changes in the key assumptions underlying the estimation of a firm's terminal period valuation are likely to have

A) A disproportionately large impact on the firm's enterprise and equity values
B) A disproportionately small impact on the firm's enterprise and equity values
C) A disproportionately large impact on the firm's enterprise value but little impact on its equity value
D) A disproportionately large impact on the firm's equity value but little impact on its equity value
E) None of the above.