Would projecting future financial performance based on past trends provide a reliable basis for valuation of the following firms Firm 1: A rapidly growing company that has made numerous acquisitions and divestitures. Firm 2: A large, well-diversified, company operating in a number of mature industries. Firm 1Firm 2（）①A.No No ②B.No Yes ③C.Yes Yes
A. ①
B. ②
C. ③
参考答案：B
解析：
Using past trends to project future financial performance would be reliable for a well-diversified firm operating in a number of mature industries. The diversified firm would likely have relatively predictable earnings. Using past trends to project future financial performance would not likely be reliable for the rapidly growing firm involved in numerous acquisitions and divestitures. Such a firm would likely have high earnings volatility.