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ACFE,the World's Largest Antifraud Organization,requires Its Members to Comply with Six

question 18

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ACFE,the world's largest antifraud organization,requires its members to comply with six fundamental rules as per ACFE's Code of Professional Standards.


Definitions:

Intrinsic Value

The actual, inherent value of a financial asset, determined through fundamental analysis without considering its market price.

Per Share FCFE

Free Cash Flow to Equity (FCFE) calculated on a per-share basis, indicating the amount of cash available to shareholders per share.

Required Return

The minimum expected return by investors for investing in a risky asset, considering the risk level compared to the risk-free rate.

Per Share FCFE

Free Cash Flow to Equity per share, which indicates how much cash is available to the equity shareholders of a company after all expenses and reinvestments.

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