How the firms capital structure will evolve

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Question: Ann is trying to test the reasonableness of the forecasts coming out of a financial model that she built to value a company she is thinking about investing in. Which of the below items should be a concern for her

I. Changes to her assumptions about how the firm's capital structure will evolve over time does not affect the projected FCFs of her model

II. The projected profit margin of her company moves over time toward that of the comparable firms she has identified

III. Projected growth rates for FCF appear to approach a steady-state level about 5 percentage points above the industry's projected growth rate Group of answer choices

Reference no: EM133223875

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