What's in our theory toolbox II Flashcards
1
Q
Corporate finance (2)
A
- company point of view
- investment decision (capital budgeting), financing decision (capital structure), and dividend decision
2
Q
Investment (2)
A
- investor point of view
- asset allocation, security selection, risk management
3
Q
Asset in finance (1)
A
- series of present and future cash flow
4
Q
Absolute valuation or DCF (3)
A
- present value of dividend
- present value of operating free cash flow
- present value of free cash flow to equity
5
Q
Relative valuation (4)
A
- P/Earning ratio
- P/Cash flow ratio
- P/Book Value ratio
- P/Sales ratio
