Discuss discounted cash flow analysis

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Reference no: EM132453067 , Length: word count :- 500

500-word discussion-Answer the two questions below 

  • In module 2, we start our "asset pricing" journey... Remember, by the time we finish our course, hopefully, we'll be able to value any cash-generating asset including stocks, bonds, portfolios of securities, capital budgeting projects, and even organizations in mergers and acquisitions situations.

Question 1. Remember, we construct pro forma forecasts for two primary reasons, one is to estimate the "plug," but what's the other reason?

Question 2. As such, what exactly is the time value of money and/or discounted cash flow analysis?

Reference no: EM132453067

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