The importance of cash flows in the absolute valuation process


Asked by wiki @ in Business viewed by 906 People


The importance of cash flows in the absolute valuation process is most similar to which of the following? a) A student deciding to attend law school, because she forgoes a full- time job today in hopes of a well-paying job in the future b) A government giving a tax break to wind farms, because it values future energy independence more than the cost of the subsidy to encourage alternative energy development c) A fishery exceeding fishing quotas, because it values short-term income more than long-term fishing stock d) A fitness instructor avoiding soda and candy, because he gives up foods he enjoys in order to live a healthier, longer life

Answered by wiki @



Answer: c) A fishery exceeding fishing quotas, because it values short-term income more than long-term fishing stock

Explanation:

Absolute valuation is a valuation method used by businesses whereby the financial worth of a company is determined through the use of a discounted cash flow. Through this, the investors can know whether a stock is either overvalued or undervalued.

Based on the question, thee importance of cash flows in the absolute valuation process is most similar to a fishery exceeding fishing quotas, because it values short-term income more than long-term fishing stock.


Do you know the better answer?

Similar Questions

What is the last step in the decision making process

Asked by wiki @ in English viewed by 279 persons

What is the last step in the decision-making process? identify and define the decision identify and consider alternatives identify and evaluate consequences assess the outcome of the decision

The design principle that is based on repetition is called

Asked by wiki @ in Social Studies viewed by 206 persons

The design principle that is based on repetition is called

15 out of 20

Asked by wiki @ in Mathematics viewed by 156 persons

What percentage is 15 out of 20​

Which best describes thermal energy

Asked by wiki @ in Physics viewed by 259 persons

Which best describes thermal energy? It is the difference between internal energies of two or more substances. It is the sum of internal energies of two or more substances. It …

How did the silk road affect europe and asia brainly

Asked by wiki @ in History viewed by 203 persons

How did the silk road affect Europe and Asia

What does it mean to have a stable food supply

Asked by wiki @ in History viewed by 137 persons

In 20 words or fewer , describe why you think a stable food supply might lead to the development of a civilization?

Which of the following is a working capital management decision

Asked by wiki @ in Business viewed by 230 persons

Which one of the following is a working capital management decision? Select one: a. What type(s) of equipment is (are) needed to complete a current project? b. Should the firm …

How do you find average speed with distance and time

Asked by wiki @ in Chemistry viewed by 249 persons

How can you calculate average speed from a distance time graph

What is a major difference between banks and credit unions

Asked by wiki @ in Business viewed by 253 persons

What is a major difference between banks and credit unions? Banks seek to make a profit for shareholders; credit unions are nonprofit. Banks are regulated by the Federal Deposit Insurance …

Find the value of x round to the nearest tenth

Asked by wiki @ in Mathematics viewed by 338 persons

Find the value of X. Round to the nearest tenth. The diagram is not drawn to scale. PLEASE help!!!!

What best characterizes iraq and afghanistan today

Asked by wiki @ in History viewed by 163 persons

What best characterizes Iraq and Afghanistan today? Both nations have stable governments. Both nations are experiencing periods of peace. Both nations struggle with unrest. Both nations are ruled by dictators.

Extend the staff upwards and downwards as in this example

Asked by wiki @ in Business viewed by 102 persons

__________ can extend the staff upwards or downwards, as in this example.

Which sentence contains a restrictive clause

Asked by wiki @ in English viewed by 292 persons

Which sentence contains a restrictive clause? A) They decided to meet where the band was performing. B) The children, sweaty and miserable, piled into the bus. C) They put the …

How to solve an equation without using the quadratic formula

Asked by wiki @ in Mathematics viewed by 223 persons

What is y^2-6y=0 without using quadratic formula?

What is the least common multiple of 3 and 9

Asked by wiki @ in Mathematics viewed by 182 persons

What is the least common multiple (LCM) of 3 and 9

How could technology be best used to solve this problem

Asked by wiki @ in Biology viewed by 268 persons

In most medical procedures, hazardous waste is produced. This waste is usually burned, which can release chemicals like lead into the air. How could technology be best used to solve …

The impressionist movement took its name from impression sunrise by

Asked by wiki @ in Arts viewed by 90 persons

The Impressionist movement took its name from Impression: Sunrise by: OA. Paul Cézanne.O B. Claude Monet.O c. Gustave Courbet.D. Édouard Manet.​

How to find an equation from a table of values

Asked by wiki @ in Mathematics viewed by 235 persons

1. Find the equation of the line that is modeled by the values in the table shown below.

List two effects of the invention of the cotton gin

Asked by wiki @ in Business viewed by 209 persons

List two effects of the invention of the cotton gin.

What does cand mean in candescent

Asked by wiki @ in English viewed by 511 persons

What does the root cand mean in the word candescent? The candescent quality of the room was improved by the southern exposure. beautiful condition pleasant glowing

How do our body systems work together to maintain homeostasis

Asked by wiki @ in Biology viewed by 230 persons

How do the body systems work together to help the body maintain homeostasis?

What is the function of an antagonist in a story

Asked by wiki @ in English viewed by 177 persons

What is the function of an antagonist in a story? O A. To create conflict by opposing the protagonist B. To rescue other characters from the monster O O C. …

Adopting a positive outlook can help you manage stress by

Asked by wiki @ in Health viewed by 242 persons

Adopting a positive outlook can help you manage stress by A. helping you say no to demands on your time. B. changing the way you perceive a stressor. C. keeping …

What type of line connects the north and south poles

Asked by wiki @ in Biology viewed by 189 persons

What type of line connects the North and South Poles? a. longitudinal c. equatorial b. latitudinal d. tropical Please select the best answer from the choices provided ОА ОВ ОС …

What is the density of helium in grams per liter

Asked by wiki @ in Physics viewed by 147 persons

A weather balloon is inflated to a volume of 2.2 x 10^3 L with 374 g of helium. What is the density of helium in grams per liter?

What business computing will look like in the next generation

Asked by wiki @ in Computers and Technology viewed by 221 persons

2. Do you agree that we are in a post-PC stage in the evolution of information systems? Do some original research and cite it as you make your prediction about …

What is the simplified form of the following expression

Asked by wiki @ in Mathematics viewed by 266 persons

What is the simplified form of the following expression?

The source document for all cash payments is a check

Asked by wiki @ in Business viewed by 211 persons

5. The source document for all cash payments is a sales invoice. (P. 60) true or false

How to find area of z score on ti 84

Asked by wiki @ in Mathematics viewed by 232 persons

Find the -scores that bound the middle 96 of the area under the standard normal curve by using the TI-84 calculator.

A balanced chemical equation allows one to determine the

Asked by wiki @ in Chemistry viewed by 263 persons

A balanced chemical equation allows one to determine the A) mechanism involved in the reaction. B) electron configuration of all the elements in the reaction. C) energy released in the …

Most viewed questions in Business


A borrower questions the amount of the notary signing fee

Asked by wiki @ in Business viewed by 2429 persons


Records are anything papers memos

Asked by wiki @ in Business viewed by 2397 persons


Transfer prices should be set at check all that apply

Asked by wiki @ in Business viewed by 1693 persons



Which ics functional area sets the incident objectives

Asked by wiki @ in Business viewed by 1337 persons


If the earnings per share of a company is 3.85

Asked by wiki @ in Business viewed by 1224 persons


Which statement about journal entries in quickbooks online is true

Asked by wiki @ in Business viewed by 1213 persons



Which 2 statements about setting up quickbooks payments are true

Asked by wiki @ in Business viewed by 1172 persons


Which among the following is recommended way to run retrospectives

Asked by wiki @ in Business viewed by 1146 persons


Members should use the aicpa conceptual framework for independence to

Asked by wiki @ in Business viewed by 1042 persons



Osha written plan for emergency operations the employer must identify

Asked by wiki @ in Business viewed by 1010 persons


A company is selling used office equipment for 12000

Asked by wiki @ in Business viewed by 985 persons


Izzy's ice cream is an international business as such it

Asked by wiki @ in Business viewed by 936 persons



The importance of cash flows in the absolute valuation process

Asked by wiki @ in Business viewed by 905 persons


The change brought about by online competition are examples of

Asked by wiki @ in Business viewed by 903 persons


A company opting to boost its sales of branded footwear

Asked by wiki @ in Business viewed by 895 persons