What SIC and/or NARCS code number did you choose? Describe the code number. Explain how you made this choice?
Net sales – What range (‘from’ and ‘to’) did you decide, if any? Explain your reasoning
Operating profit – What range (‘from’ and ‘to’) did you decide, if any? Explain your reasoning.
DEBIT – What range (‘from’ and ‘to’) did you decide, if any? Explain your reasoning.
Total assets – What range (‘from’ and ‘to’) did you decide, if any? Explain your reasoning.
Sales date – What range (‘from’ and ‘to’) did you decide, if any? Explain your reasoning.
Transaction type – What selection did you make? Explain your reasoning.
If you used any other search criteria, describe those other criteria and explain why you used them.
If you did not use any other criteria to search for comps in the database, explain why.
Using the search criteria in your earlier answers, how many database matches of potential comparables did you get?
Do you think this number is an adequate sample size to begin your analysis of these comps? If not, what would you do next, if anything, in applying the market approach?
Assume that you have decided to apply the results from your search of Pratt’s Stats database.
From the data that you collected from in the database, which price multiples would you choose to value the firm? Explain your reasoning.