The Value of the Cash Flows That the Assets of the Company

question 71

Multiple Choice

The value of the cash flows that the assets of the company are expected to generate must equal

• A) the value of the cash flows claimed by the equity investors.
• B) the value of the cash flows claimed by the debt investors.
• C) the value of the cash flows claimed by both the equity and debt investors.
• D) the revenue produced by the company.

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Definitions:

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