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Katena32 [7]
2 years ago
12

When valuing a firm with the weighted average cost of capital, the blank______ value of the firm can be estimated by assuming a

constant perpetual growth rate for cash flows beyond the horizon.
Business
1 answer:
Ludmilka [50]2 years ago
7 0

The firm's blank command line value can be calculated by assuming a continual perpetual rate of growth for cash flows beyond the horizon.

<h3>How does terminal value work?</h3>

An asset, company, or project's value after the anticipated time frame at which future cash flows can be predicted is known as its terminal value (TV). A business will supposedly continue to grow at a specific rate after the forecast period, according to the concept of terminal value.

<h3>Uses for terminal value:</h3>

The terminal value (TV) of a business is its estimated present value after the explicit forecast period. The Gordon Growth Model, special discount cash flow, and residue left earnings computation.

To know more about terminal value visit:

brainly.com/question/25296684

#SPJ4

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use the cost index method to estimate the current construction cost for a building equivalent to one constructed in 1980 at a co
oksano4ka [1.4K]

Answer:

To determine the current equivalent cost of a construction built in 1980 whose cost was $ 2.7 million, we must establish the relationship between the price index for that year, comparing it with that of the current year.

Taking into account that the average cost index for 1980 was 1941, and that said value is currently 3620, we can note that there was a significant increase in costs. Since 3620/1941 = 1.86, to determine the current cost of construction we must multiply its cost by 1.86.

So, since 2.7 x 1.86 = 5.022, we can establish that the equivalent cost at current prices of said building would have been $ 5,022,000.

6 0
3 years ago
Under IRS rules, if a customer selling shares of stock wishes to use specific identification instead of FIFO for cost basis repo
Eddi Din [679]

Answer:

Settlement Date

Explanation:

The broker is expected to be notified on the date which the cash or assets has been transferred has been completed. The settlement date simply refers to the date that the trade or sales of shares of stock settles, and thus when using specific identification rather than FIFO, the broker dealer must be notified no later than the settlement date for cost basis reporting.

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3 years ago
How do you poop it out
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8 0
3 years ago
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An employee who is exhibiting intimidating behaviors that are discourteous/disrespectful, uncooperative, and/or verbally abusive
m_a_m_a [10]
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The formula Nequalspplus0.02p models the new​ population, N, of a town with current population p if the town is expecting popula
Llana [10]

Answer:

4284 persons

Explanation:

The new population of the town will be computed as:

Increase in population = Current population × Increase in population %

where

Current population is 4200 persons

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= 4200 persons × 2%

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So, the new population would be:

New population = Current population + Increase in population

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Therefore, next year, there would be 4284 persons

5 0
3 years ago
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