The answer: is E
Explain: hope this helps
Answer:
i'm not sure this is the right place to ask him if you want to ask him in private
Explanation:
Answer:
Discounted cash flow strategies consider the time value of the currency and consider all future cash flows.
Explanation:
Discounted cash flow approaches recognize the value of money, and take into consideration all investment returns, unlike other traditional capital budgeting approaches.
- Discounted cash flow is an accounting tool used to measure an investment's worth based on its future revenues.
- Discounted Cash Flow analyses are trying to figure out the value of the company now, based on estimates of how much revenue it will make in the future.
Answer:
$81, $75, and $69
a. Market value of existing shares = 215000 * $81 = $17415000
Value of New shares issued = 48000 * $81 = <u>$3888000</u>
<u>$21,303,000</u>
Price after issue of new shares = 21,303,000 / (215000 + 48000)
= 21,303,000 / 263,000
= $81
Conclusion: No changes ($0 per share
b. Market value of existing shares = 215000 * $81 = $17415000
Value of New shares issued = 48000 * $75 = <u>$3600000</u>
<u>$21015000</u>
Price after issue of new shares = 21015000 / (215000 + 48000)
= 21,015,000 / 263,000
= $79.90
Conclusion: There is a decrease in amount (81 - 79.90) = $1.10 per share
c. Market value of existing shares = 215000 * $81 = $17415000
Value of New shares issued = 48000 * $69 = <u>$3312000</u>
<u>$20,727,000</u>
Price after issue of new shares = 20,727,000 / (215000 + 48000)
= 20,727,000 / 263,000
= $78.81
Conclusion: There is a decrease in amount (81 - 78.81) = $2.19 Per share
