Illustrate, Label, and Define Each Key Term Relating to the Communication

question 69

Short Answer

Illustrate, label, and define each key term relating to the communication process.

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Definitions:

Cost of Capital

The total cost of acquiring funds used for investment purposes, including debt and equity.

Terminal Value

Terminal Value is the estimated value of a business or investment at the end of a forecast period, calculated to determine its future cash flows in perpetuity.

Cash Flow

The net amount of cash and cash-equivalents being transferred into and out of a business.

Cost of Capital

The requisite rate of profit an enterprise should attain in investment activities to keep its market presence and secure funding.