1|Page
CEPA (Certified Exit Planning Advisor) Exam||Verified
Exam Preparation Version 1 Newest With Complete
Questions And Correct Detailed Answers| Newest
Exam!!!
What is the calculation for Recasted EBITDA? - Answers-
Addbacks + EBITDA = Recasted EBITDA
Specialized consultants are typically considered members
of an owner's:
a) Extended team
b) Core team
c) Accountability team
d) All of the above - Answers-a) Extended team
What is not a core element of a team that makes it
effective?
a) Financial Knowledge
b) Trust
c) Rhythm
d) Commitment - Answers-a) Financial Knowledge
,2|Page
The core capabilities of the Value Advisor include
engaging advisors, resolve conflicts, and focusing on
enterprise value.
a) True
b) False - Answers-a) True
What is the common goal of the team, no matter who is in
the door first?
a) Getting the owner to do the Triggering Event
b) Set a budget
c) 90-day sprints
d) It depends on the client's preference - Answers-a)
Getting the owner to do the Triggering Event
Which of the following would be considered a con of the
intergeneration transfer exit option?
a. Business legacy preservation
b. Longer sale process
c. Lower sale price
d. Higher taxes - Answers-c. Lower sale price
,3|Page
Which of the following is not an inside exit option?
a. Sale to existing partners
b. Management buyout
c. Intergenerational transfer
d. Recapitalization - Answers-d. Recapitalization
Complete the following equation used by private equity
groups when calculating how to value a company: _____ x
Multiple = Valuation
a. Revenue
b. Company Size
c. EBITDA
d. Cash - Answers-c. EBITDA
When considering the Pillars of Growth, the easiest way to
begin a company's growth strategy is by:
a. Selling new products to existing customers
b. Selling existing products to new customers
c. Selling existing products to existing customers
d. Selling new products to new customers - Answers-c.
Selling existing products to existing customers
, 4|Page
Limited Partners in a private equity fund vote on the
investment committee and have control over what deals
get done.
a. True
b. False - Answers-b. False
A company will sell for a higher multiple when their sales
are comprised of small, recurring purchases.
a. True
b. False - Answers-a. True
If a business had no accounting systems or staff and no
management team depth, that business would likely sell
for:
a. Less than a 5.0x multiple
b. Between a 5.0x-7.0x multiple
c. Greater than a 7.0x multiple
d. The business would never sell - Answers-a. Less than a
5.0x multiple
CEPA (Certified Exit Planning Advisor) Exam||Verified
Exam Preparation Version 1 Newest With Complete
Questions And Correct Detailed Answers| Newest
Exam!!!
What is the calculation for Recasted EBITDA? - Answers-
Addbacks + EBITDA = Recasted EBITDA
Specialized consultants are typically considered members
of an owner's:
a) Extended team
b) Core team
c) Accountability team
d) All of the above - Answers-a) Extended team
What is not a core element of a team that makes it
effective?
a) Financial Knowledge
b) Trust
c) Rhythm
d) Commitment - Answers-a) Financial Knowledge
,2|Page
The core capabilities of the Value Advisor include
engaging advisors, resolve conflicts, and focusing on
enterprise value.
a) True
b) False - Answers-a) True
What is the common goal of the team, no matter who is in
the door first?
a) Getting the owner to do the Triggering Event
b) Set a budget
c) 90-day sprints
d) It depends on the client's preference - Answers-a)
Getting the owner to do the Triggering Event
Which of the following would be considered a con of the
intergeneration transfer exit option?
a. Business legacy preservation
b. Longer sale process
c. Lower sale price
d. Higher taxes - Answers-c. Lower sale price
,3|Page
Which of the following is not an inside exit option?
a. Sale to existing partners
b. Management buyout
c. Intergenerational transfer
d. Recapitalization - Answers-d. Recapitalization
Complete the following equation used by private equity
groups when calculating how to value a company: _____ x
Multiple = Valuation
a. Revenue
b. Company Size
c. EBITDA
d. Cash - Answers-c. EBITDA
When considering the Pillars of Growth, the easiest way to
begin a company's growth strategy is by:
a. Selling new products to existing customers
b. Selling existing products to new customers
c. Selling existing products to existing customers
d. Selling new products to new customers - Answers-c.
Selling existing products to existing customers
, 4|Page
Limited Partners in a private equity fund vote on the
investment committee and have control over what deals
get done.
a. True
b. False - Answers-b. False
A company will sell for a higher multiple when their sales
are comprised of small, recurring purchases.
a. True
b. False - Answers-a. True
If a business had no accounting systems or staff and no
management team depth, that business would likely sell
for:
a. Less than a 5.0x multiple
b. Between a 5.0x-7.0x multiple
c. Greater than a 7.0x multiple
d. The business would never sell - Answers-a. Less than a
5.0x multiple
