Can’t this also be endowment bias as the lady is valuing her asset more than its actually worth? The answers state confirmation bias and point to the fact that her seeking opinion for company valuation as a justification. But can’t we also provide justification of endowment?
Question:
She owns 100% of equity, wants to sell but is convinced her company’s worth 25% premium even though recent acquisitions are typically priced at similar multiple of earnings. She searches for expert opinion that would support her opinion of company’s valuation.