Introduction Flashcards
1
Q
What is the principal theme that carries though all of finance?
A
Value
2
Q
Valuation (definintion)
A
Finidng the good value estimate
3
Q
Law of one price
A
It states that two identical items should cost the same
4
Q
Project (definition)
A
Set of chash flows
The most basic object in finance is the project. As far as finance is concerned, every project is a set of flows of money (cash flows)
5
Q
What is the basic finance object
A
Project
