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The following information apply to the next two questions. Specify whether the following statements about Discounted Cash Flow ( DCF ) valuation are true or
The following information apply to the next two questions.
Specify whether the following statements about Discounted Cash Flow DCF valuation are true or false, assuming that all variables are constant except for the on mentioned:
Q As the expected growth rate in cash flows increases, the value of an asset increases.
a True
b False
Q As the uncertainty about the expected cash flow increases, the value of an asset increases.
a True
b False
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