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Hello there, I need help with finance 630. Please find attached for detail information on discussion questions. Thanks, Value of a Going Concern As we
Hello there,
I need help with finance 630. Please find attached for detail information on discussion questions.
Thanks,
Value of a Going Concern As we have learned so far into the course that forecasting cash flows into the foreseeable future poses a unique challenge since most enterprises are expected to stay in business for many years. As valuation experts, what we can do in order to come up with a reasonably accurate valuation of a business that is expected to continue for long time? What are the different alternative methodologies that can be applied to meet this challenge? Social Security as a Valuation Problem One of the bigger political "footballs" of early 2005 concerned revising Social Security. Projections abounded -- that nobody refuted -- that the system would start being in net cash outflow by 2017 (give or take a year or two) and go broke by 2042 (again, give or take a year or two). Politics may have tabled the topic for a while, but it is useful analytically. Let me pose two questions. First, how can we analyze the Social Security situation as a valuation problem? Second, "Stocks are too risky for Social Security" has been one of the arguments against the proposed private accounts. Do you agree or disagree
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