Under the cash-flow-based valuation approach, free cash flows can be used instead of dividends as the expected future payoffs to the investor in the numerator of the general valuation model because:
a. this approach focuses on earnings as a measure of the capital that a firm creates.
b. over the life of the firm, the free cash flows into the firm and cash flows paid out of the firm in dividends to shareholders will be equivalent.
c. over the life of the firm, the free cash flows out of the firm for investments and cash flows paid into the firm in dividends from these investments will be equivalent.
d. this approach focuses on wealth distribution to shareholders.
B
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A collective noun is a:
A. group of things or persons. B. collection of adjectives. C. noun that can be used as a verb. D. noun that is really an adjective.
Price differences in milk cartons that are slightly different in size falls under Section ________ of the Clayton Act
A) 2(f) B) 2(d) C) 2(b) D) 2(a)
An agent (in a host nation) of a principal is subject to the laws of the principal's country
Indicate whether the statement is true or false
One major disadvantage of laboratory tests is the lack of realism, and perhaps the greatest effect of this lack of realism is
A. a testing bias. B. high costs. C. distraction due to noise. D. limited control. E. perceptual propensity.