Please Define the Following Key Terms

question 80

Essay

Please define the following key terms. Show Who? What? Where? When? Why Important?
-Victor Hugo

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Definitions:

Subjective Approach

A method or judgement based on personal feelings, tastes, or opinions rather than external facts or evidence.

Discount Rates

Interest rates used in discounted cash flow analysis to determine the present value of future cash flows.

Explicitly Accounts

Refers to the method of recording or acknowledging financial transactions, assets, liabilities, or other elements in financial statements in a clear and detailed manner.

SML Approach

Stands for the Security Market Line approach, which illustrates the expected return of investments as a function of their risk, according to the Capital Asset Pricing Model (CAPM).