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Fundamental Analysis Attempts to Determine the Intrinsic Value of Stock

question 1

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Fundamental analysis attempts to determine the intrinsic value of stock by analyzing company conditions,industry conditions,and economic conditions.

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Definitions:

Financing Activities

Transactions that involve raising funds for the company through debt, equity, or other financial means.

Investing Activities

Transactions involving the purchase and sale of long-term assets and investments, part of the cash flow statement.

Indirect Method

A technique used in financial accounting to calculate cash flows from operations by adjusting net income for non-cash transactions.

Operating Activities

The primary, day-to-day activities of a business that relate to its production, sales, and delivery of goods and services.

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