Chapter 21-22: Setting assumptions Flashcards by Derrick Lategan | Brainscape

Q

Basis

A

Set of assumptions used in an investigation. Basis depends on purpose of investigation.

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Q

Two aspects to consider when setting assumptions

A

expected future experience

- margins required

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Q

Risks that can be reduced by matching (3)

A

investment risk
inflation risk
marketing risk (PRE)

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