Explain theory about valuation procedures in investment bank

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Explain Theory about valuation procedures in investment banking

A standard criticism of investment banking firms is their approach to valuation which includes determining a price for an offering and then manipulating the input variables into conventional valuation techniques to justify the arrived price. If that is so, wouldn't use of heuristics rather than more sophisticated valuation procedures expedite the procedure? What do you think? Explain.

Reference no: EM1312324

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