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Q. Explain about Book Value Weights?
Book Value Weights: - Book value weights are calculating form the values taken from the balance sheet. The weight to be assigned to every source of finance is the book value of that source of finance divided by the book value of total sources of finance.
Benefits of Book Value Weights:
Drawbacks of Book Value Weights:-
Classification of finance and abrief description of each source of fund
Q. Working Capital as a Percentage of Total Assets? This approach of estimation of working capital requirement is based on the fact that the total assets of the firm arc consis
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You are required to compute the value of both the firms using Net Income approach.
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