Finance Principles Essay Preview: Finance Principles Report this essay ***THIS HAS BEEN PASSED DOWN TO ME VIA A PROFESSOR*** Summary of Finance Principles every MBA Should Know I) Market values are the only important values in finance; market values are cash values in a sale or purchase; book values are based on historical accounting numbers.
Nike Cost of Capital Nike Inc.: Cost of CapitalWe believe that it is appropriate to have one cost of capital for valuing Nike as a whole. We believe this to be the case because Nike’s various product segments do not constitute significantly different industries with different risk rates (If the apparel is selling well, so.
Fin 303 Homework #1 Csu Homework Set I1. Discuss the difference between book values and market values and explain which one is more important to the financial manager and why.Book value is the price paid for an asset or liability. It remains unchanged, even if it has appreciated or depreciated over time, because of this, they.
Equity Valuation Recap Lesson #15 – Equity Valuation (10/28)Dividend discount models and valuation ratios13.1 – 13.4, H15, H1613.1 – Valuation by ComparablesBasically look at the prices and multiples of various firms and compare it to your firm.Ex. Microsoft’s P/E ratio is 9.2, compared to the industry standard of 15.3. This may imply that Microsoft is.
