What is the name of the approach that discounts the after-tax free cash flows to stockholders at the required rate of return on the equity to derive the value of a project?
A) weighted average cost of capital
B) flow-to-equity
C) adjusted net present value
D) unlevered cash flow
Ans: B) flow-to-equity
You might also like to view...
Explain the potential problems associated with the brand management system
What will be an ideal response?
How has the adoption of codes of ethics by businesses changed over time?
a. Survival of the fittest has led fewer businesses to abide by their own codes of ethics. b. Since the 1960s, vastly more businesses have adopted them to be more in line with public and industry expectations. c. The rate of adoption by businesses has remained roughly the same since the 1960s. d. The superficial adoption of codes of ethics has increased, while moral expectations of business has decreased.
Which of the following statements is true of the idea generation stage in the new product development process?
A) The purpose of idea generation is to reduce the number of ideas to the least possible number. B) Truly innovative companies rely exclusively on a single source for new product ideas. C) Customers are the least important sources of new product ideas. D) Truly innovative companies develop extensive innovation networks that capture ideas and inspiration from every possible source. E) Truly innovative companies seldom rely on customers and the general public for ideas.
Explain how approaches to product and service development can be applied to a go-to-market approach,
with an example. What will be an ideal response?