The Value of the Cash Flows That the Assets of a Firm

question 1

Multiple Choice

The value of the cash flows that the assets of a firm 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 firm.

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