1 pts Question 16 16) Which of the following is true of discounted cash flow valuations? O One good way to do them is to forecast Free Cash Flow to Equity (FCFE) then use WACC for the discount rate Typically people discount net income One Drawback is that it is easy to adjust your assumptions so that you back into the answer that you want One good way to do them is to forecast Free Cash Flow to the Firm (FCFF), then to use CAPM to calculate the discount rate