Which of the folowwing statements about a company's stock valuation is incorrect? Select one: a. the value is not a function of the amount of the cash flows(FV) b. an asset which is expected to produce future cash flows has a value which is equilavent to the present value of all those expected cash flows c. the intrinsic value is that value which an investor places on an asset d. the value is a function of the timing of the cash flows(n).

Financial Reporting, Financial Statement Analysis and Valuation
8th Edition
ISBN:9781285190907
Author:James M. Wahlen, Stephen P. Baginski, Mark Bradshaw
Publisher:James M. Wahlen, Stephen P. Baginski, Mark Bradshaw
Chapter13: Valuation: Earnings-based Approach
Section: Chapter Questions
Problem 1QE
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Which of the folowwing statements about a company's stock valuation is incorrect?

Select one:

a. the value is not a function of the amount of the cash flows(FV)

b. an asset which is expected to produce future cash flows has a value which is equilavent to the present value of all those expected cash flows

c. the intrinsic value is that value which an investor places on an asset

d. the value is a function of the timing of the cash flows(n).

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