Why is it important to match the cash flows and discount rate when using DCF valuation?

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Entrepreneurial Finance Venture Capital Deal Structure And Valuation

ISBN: 9781503603219

2nd Edition

Authors: Janet Kiholm Smith, Richard L. Smith

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Question Posted: Apr 26, 2024 06:02 AM

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Why is it important to match the cash flows and discount rate when using DCF valuation?

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Matching the cash flows and discount rate is crucial in Discounted Cash Flow DCF valuation for several reasons Consistency DCF valuation aims to estim...View the full answer

Entrepreneurial Finance Venture Capital Deal Structure And Valuation

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