Examlex
key to setting a final price for a product is finding an approximate price level to use as a reasonable starting point.Four common approaches to selecting an approximate price level are: (1) demand-oriented; (2) cost-oriented; (3) profit-oriented; and (4) __________ approaches.
Present Value
The computed present value of a future monetary sum or cash flow sequence, utilizing an established rate of return.
Growth Opportunities
Potential scenarios or plans a business can embark on to increase profits, expand its operations, or enter new markets.
Abnormal Earnings
Income that deviates significantly from what is typical or expected, usually referring to profits significantly higher or lower than those typical for the industry or the company's history.
Valuation Approach
The methodologies and procedures used to determine the value of an asset, a company, or a financial instrument.
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