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Private Equity investors often require internal rates of return of more that 25% on the investments they make. How are these required rates of return
Private Equity investors often require internal rates of return of more that 25% on the investments they make.
- How are these required rates of return justified?
- Explain how the practice of demanding a high risk premium is inconsistent with using expected cash flow forecasts that include a realistic view of the possible downside of the investment to value a business.
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