Testamentary Capacity Refers To

question 74

Multiple Choice

Testamentary capacity refers to:

• A) the age of the testator.
• B) the same capacity as required to contract.
• C) the mental ability to create a will.
• D) the influence of others over the testator.

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Definitions:

Growth Rate

The rate at which an economic variable, such as the Gross Domestic Product (GDP), a company's profits, or an investment's value, increases over a specified period of time.

Market Capitalization Rate

The expected return on an investment in the market, often used in the valuation of stocks and to determine a company's cost of equity.

PVGO

Present Value of Growth Opportunities; a model that estimates the value of a firm's shares excluding its current earnings, focusing on future growth.

P/E Ratio

Price-to-earnings ratio, a valuation metric for determining the relative worth of a company's shares by dividing stock price by earnings per share.