Chapter 10: Analysis and Valuation of Privately Held Companies Answers to End of Chapter Discussion Questions 10.1 What is the capitalization rate and how does it relate to the discount rate? Answer: The terms discount rate and capitalization rate are often used interchangeably. Whenever the growth rate of a firm’s cash flows is projected to vary over time‚ the term discount rate generally refers to the factor used to convert the projected cash flows to present values. In contrast‚ if the cash
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Chapter 2 Textbook Solutions QUESTIONS 3. Why is EBIT an important line item in the income statement? What does EBIT show us? ANSWER Earnings before interest and taxes (EBIT) is the lowest line on the income statement that isn ’t affected by the firm ’s method of financing (the relative amounts of debt and equity used). It is important because it allows an evaluation of physical business operations separate from the influence of financing decisions. It is therefore often called operating income
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BIOLOGY 331: GENERAL ECOLOGY TEST 1‚ FALL 2009 STUDY GUIDE Concepts: What is Ecology? • Foundation Disciplines (esp.‚ behavior‚ ecology‚ genetics‚ evolution) • What it is not (i.e.‚ not a study of environmental problems‚ but rather a study of interactions among organisms and environment) Levels of Organization • Individual organism • Population • Community • Ecosystem (with the abiotic environment) Limiting Factors – abiotic vs. biotic Adaptation
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MGNT 3430: Operations Management Fall 2014 Homework 1 Answers Discussion Questions Q6 (p. 25). Although all nine of the competitive priorities discussed in this chapter are relevant to a company’s success in the marketplace‚ explain why a company should not necessarily try to excel in all of them. What determines the choice of the competitive priorities that a company should emphasize for its key processes? Answer. It is often not a good idea for a company to try to excel in all of the competitive
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INTRODUCTION TO ECOLOGY I. Definition - Greek words: oikos = family household logy = study of by Ernst Haeckel in 1866 - 1866 Ernst Haeckel: the comprehensive science of the relationship of the organism to the environment - 1927 Charles Elton: scientific natural history - 1963 E. P. Odum: the study of the structure and function of nature - 1972 C. J. Krebs: the scientific study of the interactions that determine the distribution and abundance of organisms To summarize: - Scientific
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Questions 1. a. Discuss the specific items of capital that should be included in the WACC. The WACC calculation should include all the sources of capital like common stock‚ preferred stock‚ bonds and any other long-term debt. b. The comptroller currently finds the weights for the weighted average cost of capital (WACC) from information from the balance sheet shown in Table 2. Compute the book value weights that the comptroller currently uses for the company’s capital structure.
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Unit 054 “principals for implementing Duty of Care in Health‚ Social Care or Children’s and young Peoples Setting” LO 1 ‘Understand how duty of care contributes to safe practice’ 1.1 When people interact with each other each has a Duty of Care towards the others. Duty of care means exercising a reasonable degree of attention and caution to avoid negligence which would lead to harm to other people. 1.2 How Duty of Care safeguards Children and Young People Children and young people
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Ecology and Evolution Crystal Dillon-Reeves BIO/315 April 1‚ 2013 Howard Rubin‚ Ph.D. Ecology and Evolution Beren Robinson performed remarkable field study of threespine sticklebacks. These fish closely relate to ecology and evolution. The researchers original findings are different than that of Robinson’s field study. His hypothesis states that the threespine sticklebacks varied phenotypes are the handiwork of natural selection supporting the discrepancy in the population. Diet and the
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Answers to Chapter 3 Exercises 3.1. DRAM factory. You own and operate a facility located in Taiwan that manufactures 64-megabit dynamic random-access memory chips (DRAMs) for personal computers (PCs). One year ago you acquired the land for this facility for $2 million‚ and used $3 million of your own money to finance the plant and equipment needed for DRAM manufacturing. Your facility has a maximum capacity of 10 million chips per year. Your cost of funds is 10% per year for either borrowing
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Econ Answers Chapter 3 The price of train travel increases by 10% and the demand for train travel falls by 12.5%. The price elasticity of demand for train travel is – -1.25 The short run (retail) supply of freshly cut flowers is much less elastic than that of pot plants because: -florists cannot keep freshly cut flowers as long as pot plants If demand drops to zero at the slightest increase in price‚ demand is: - Perfectly elastic Price elasticity of supply will be greater when: - firms hold large
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