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IFPUG ABV Exam Syllabus Topics:

SectionObjectives
Topic 1: Qualitative and Industry Analysis- Business and economic factors
  • 1. Company-specific risk evaluation
    • 2. Industry risk assessment
      Topic 2: Business Valuation Fundamentals- Core valuation principles
      • 1. Valuation standards and ethical requirements
        • 2. Purpose and objectives of valuation engagements
          Topic 3: Valuation Reporting and Standards- Reporting requirements
          • 1. Compliance with AICPA valuation standards
            • 2. Valuation report structure and disclosures
              Topic 4: Valuation Approaches and Methods- Income, market, and asset-based approaches
              • 1. Discounted cash flow (DCF) analysis
                • 2. Comparable company and transaction methods
                  Topic 5: Financial Statement Analysis- Analysis techniques
                  • 1. Normalization adjustments
                    • 2. Ratio and trend analysis

                      IFPUG Accredited in Business Valuation (ABV) Sample Questions:

                      Which of the following agreements often restrict the marketability of the subject interests and they can, correspondingly, affect the value of other classes of equity as well?

                      • A. Repurchase agreements
                      • B. Buy-sell agreements
                      • C. Employment agreements
                      • D. Non-compete agreements
                      Reveal Solution  Discussion  0

                      Correct Answer: A,B  🗳️

                      What is a publicly traded company
                      that must file Forms
                      10-K,
                      10-Q, and other information with the Securities Exchange Commission (SEC)?

                      • A. over-the-counter capital
                      • B. Non-reporting company
                      • C. Stock Exchange
                      • D. Reporting company
                      Reveal Solution  Discussion  0

                      Correct Answer: D  🗳️

                      The rate of interest that, when applied to the expected future payments equal to the debt security's observed market price is called the:

                      • A. Interest earning
                      • B. Yield to maturity
                      • C. Return on investment
                      • D. Market interest
                      Reveal Solution  Discussion  0

                      Correct Answer: B  🗳️

                      Which of the following assumption is a base for the process of unlevering and relevering betas to an assumed capital structure?

                      • A. Investors are risk averse
                      • B. The amount of debt and equity at market value.
                      • C. Subject companies are at market value in this process
                      • D. Business interest subject to valuation has the ability to change the capital structure of the subject company
                      Reveal Solution  Discussion  0

                      Correct Answer: D  🗳️

                      Which of the following type of final value estimates may be appropriate, given the purpose and objective of the valuation?

                      • A. A range of value
                      • B. A point estimate
                      • C. All of the above
                      • D. A relationship value
                      Reveal Solution  Discussion  0

                      Correct Answer: C  🗳️

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