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Nostrana [21]
3 years ago
5

Do small changes in the assumptions pertaining to the estimation of the terminal value have a significant impact on the calculat

ion of the total value of the target firm? If so, why?
Business
1 answer:
IgorC [24]3 years ago
8 0

Answer:

Yes, small changes in the assumptions pertaining to the estimation of the terminal value have a significant impact on the calculation of the total value of the target firm.

Explanation:

Terminal value is dependent on the input used in the valuation and the two inputs which heavily influence the value of enterprise are future growth projection and discount rate.

Accurately projecting the future cash flow can be a doubting task and can result in a degree of uncertainty built into estimate.

Small changes in the assumptions pertaining to the estimation of the terminal value have a significant impact on the calculation of the total value of the target firm. This is because, it is these small changes in the stable growth rate can change the terminal value significantly and the effect gets larger as the growth rate approaches the rate used in the estimation of the total value of the target firm.

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Which strategy are you using when you only read the title, section headings, and captions?
wlad13 [49]
I believe that the strategy you are using when you only read the title, section headings, and captions is called the SQ3R reading method. The abbreviation stands for survey, question, read, recite, and review, and it helps you better understand your assignment. 
4 0
3 years ago
Which of the following scenarios would be included in GDP? Pam buys a new 40-inch television at Walmart. Sandra is a waitress at
kkurt [141]

Answer:

A.  Pam buys a new 40-inch television at Walmart.

Explanation:

Gross Domestic Product is the sum monetary value of goods and services purchased in a country within a specific length of time. It can be calculated on an annual or quarterly basis. It helps economists in making decisions. The GDP has to be recorded so that it can be accounted for. The GDP is calculated based on income, expenditure, or production.

From the options given, only Pam has performed an activity that can be rightly included in GDP. This is because she purchased an item (expenditure) that would be recorded by the supermarket and eventually accounted for in the country's GDP.

3 0
3 years ago
Silver Co. has a $400 petty cash fund. At the end of the first month the accumulated receipts represent $63 for delivery expense
lutik1710 [3]

Answer:

Credit to cash for $302

Explanation:

Account Titles and Explanation                        Debit       Credit

Delivery expenses                                               $63

Miscellaneous inventory                                      $207

Miscellaneous expense                                       $32

Cash                                                                                   $302

(To record petty cash reimbursement)

3 0
3 years ago
A company currently has 500 items in inventory. The demand for the next 2 months is 900 and 1200 units. Assuming a level product
Alborosie

The ending inventory at the end of the second period is 400 units

What is ending inventory?

Ending inventory means the quantity of stock left unsold at the end of a period.

It is determined as beginning inventory plus production units minus quantity sold or demanded.

Ending inventory first month=500+1000-900

Ending inventory first month=600

Ending inventory second month=600+1000-1200

Ending inventory second month=400

Find in the link below further explanation on ending inventory.

brainly.com/question/14970629

#SPJ1

8 0
1 year ago
In the late nineteenth century, what helped narrow the gradations of freedom amongst white Americans? a. Indentured servitude ha
ElenaW [278]

In the late nineteenth century, Judith Sergeant Murray wrote about women’s intellect being equal- this helped narrow the gradations of freedom amongst white Americans.

Option: B

Explanation:

In the late nineteenth century there was a conflict in between white Americans about the freedom. Their fight against each other graded by the help of writer and other professionals who wrote about their strong points. Judith Sergeant Murray who was an American writer and advocate wrote about women's right.

Gender discrimination, women's right, feminism was the core area of writing in Judith Sergeant Murray's work. He compared women's ability with man's, their imagination, decision making capacity, judgemental motives etc.

5 0
3 years ago
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