Explain 3 Instances When the Fair Value of the Non-Current

question 63

Essay

Explain 3 instances when the fair value of the non-current liability will not equal the cash proceeds.

---

Definitions:

High Beta Stocks

Stocks that are more volatile than the market, typically reacting more strongly to market changes.

Diversify

To invest in a variety of assets to reduce risk in an investment portfolio.

Stand-Alone Risk

The risk associated with a single operating asset or investment, without considering other risks in a portfolio or company.

Risk Impacts

The potential negative consequences or losses arising from uncertainties and vulnerabilities within a system or investment.