What advice would give alison

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Problem 1: While researching valuation notes prepared by Prof. John Doe, Alison C, a student came across a detailed valuation of Ford Motor Company (Ford) dated 31 December 2000. In the valuation, Prof. Doe had estimated Ford's earnings persistence as 0.65 (p-value = 0.000). This was based on quarterly earnings from 1975-2000. Based on this result, Alison argues that Ford currently has highly persistent earnings. Do you agree? Explain. What advice would you give Alison?

Reference no: EM132761774

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