All categories

2 years ago

Write a 100- to 150-word initial post on the following questions:

1 answer:

4 0

Because the analyst is compelled to make assumptions for model inputs, valuation research is primarily based on science with a small amount of art. Bond and stock valuation are a few further uses, along with capital budgeting. The concept that its future earnings potential, a sum of money, is worth more today than it will be later.

What is valuation analysis?

A technique called valuation analysis is used to determine the approximate value or worth of any kind of asset, including businesses, stocks, fixed-income securities, commodities, real estate, and other assets.

Because the analyst must make assumptions for model inputs, valuation analysis is primarily a scientific process but also involves certain artistic elements. An asset's worth is essentially the sum of its present value (PV) for all anticipated future cash flows.

The time value of money is used in various financial contexts, such as capital planning, bond and stock valuation. Finding what a current investment will increase to in the future is the process of determining future worth. Compounding is the term for this.

Hence, the significance of the valuation analysis is aforementioned.

Learn more about on valuation analysis, here:

brainly.com/question/17206059

#SPJ1

You might be interested in

Which characteristics describe customers who are more likely to have high assets and medium-low debt?

Zielflug [23.3K]

Customers with credit cards with no balance are more likely to have high assets and medium-low debt.

<h3>What do you mean by Credit card?</h3>

A credit card is a small rectangular or metal piece of paper issued by a bank or financial services company, which allows cardholders to borrow money to pay for goods and services from merchants who accept cards to pay.

Customers who are more likely to have medium and low credit often use credit cards, but do not leave a balance. They also have a savings account and a retirement account.

Thus, Customers with have credit cards with no balance are more likely to have high assets and medium-low debt.

To learn more about credit card refer:

brainly.com/question/11199005

#SPJ2

7 0

3 years ago

When Greenbelt Construction company began building houses in a large subdivision with many other builders, the company priced it

r-ruslan [8.4K]

Answer:

"A"

Competitor-Based

8 0

3 years ago

Target profit a.are when sales and costs are exactly equal. b.can be calculated by modifying the break-even equation. c.equals d

Irina-Kira [14]

Answer:

b. can be calculated by modifying the break-even equation.

Explanation:

As the name implies, target profit can be explained to be the certain amount a business enterprise or a business organisation targets to hit at the end of its sales or at the end of her business dealings.

It can be easily seen in a cash flow planning as it is once modified to approximate cash flow, and also used for revealing expected results to investors and lenders. In all that it is been used for, in the scenario above, it also can be calculated by modifying the break-even equation, and deriving more conservative budgeting packages in business development too.

Adjust the contribution margin per unit and units sold based on an expected sales promotion.

Alter the fixed cost total and the contribution margin per unit for the effects of outsourcing production.

Alter the contribution margin for the effects of changing to a just-in-time production system.

If there is continually a large unfavorable variance between the target and actual profit, it may be necessary to examine the system used to derive the target profit,

7 0

3 years ago

Advantages of flow production

Vladimir [108]

Answer:

Flow production is capital intensive. This means it uses a high proportion of machinery in relation to workers, as is the case on an assembly line. The advantage of this is that a high number of products can roll off assembly lines at very low cost.

Explanation:

7 0

3 years ago

the pure expectations theory holds, which of the following statements is CORRECT? a. The maturity risk premium would be zero. b.

Anastasy [175]

Answer: The Maturity Risk Premium would be zero.

Explanation:

The Pure Expectations Theory believes that forward rates are just a representation of what people expect Future rates to be.

For this reason therefore, it believed that the Maturity Premium is Zero amongst Long Term Treasury Securities and that the difference in interest rates attached to Treasury bonds of different maturities is simply a result of what people perceive future interest rates to look like but as for Maturity Premiums, it doesn't exist in long term Treasury Securities.

7 0

4 years ago