Question #28
Reading: Reading 19 Equity Valuation - Applications and Processes
PDF File: Reading 19 Equity Valuation - Applications and Processes.pdf
Page: 10
Status: Unattempted
Correct Answer: B
Question
The present value of expected future cash flows is the firm's:
Answer Choices:
A. liquidation value
B. going-concern value
C. terminal value
Explanation
Going-concern value is the present worth of expected future cash flows generated by a
business.