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Why estimates are required to calculate expected present value when conditions are not ideal?
Estimates are required to calculate expected present value in non-ideal conditions because uncertainties and variability in future cash flows, discount rates, and economic factors can complicate precise calculations. When data is incomplete or unreliable, estimates help in approximating these variables to provide a more realistic valuation. This approach allows decision-makers to account for potential risks and make informed choices despite the lack of ideal conditions. Ultimately, estimates help bridge the gap between theoretical models and practical financial realities.
What else can I help you with?
Can the word expected the same as required?
The word "expected" is not the same as "required". Something that is "expected" is something that is assumed will occur. Something that is "required" is something that is essential.
What word means the same as expected or required?
needed, vital, essential
How do you calculate the amount of air required to pressurize a room?
It depends on the pressure you wish to achieve.
IPX Course cm2-01, Calculate the extra cost required to correct the documentation?
3
What variables are required to calculate the present value of a future amount?
The future amount itself and a discount rate.
Can the word expected the same as required?
The word "expected" is not the same as "required". Something that is "expected" is something that is assumed will occur. Something that is "required" is something that is essential.
How you calculate the capacity of cement silo?
Dear Friend, calculate the volume of the silo ie., nothing but the capacity you required.
What does unethical mean and some examples of it?
not working as per required, or expected to work not working as per required, or expected to work
How do you calculate the production line personnel required?
How do you calculate the production line personnel required?
Increase in expected growth rate does what to required return rate?
An increase in a firm's expected growth rate would normally cause its required rate of return to
What type of information is not required in a work breakdown structure?
In a work breakdown structure, detailed cost estimates and resource assignments are not required.
What does supererogatory mean?
performed or observed beyond the required or expected degree
What word means the same as expected or required?
needed, vital, essential
Does the capital asset pricing model help us to get required rate of return or expected rate of return?
expected rate of return
What are the conditions to set the curd?
exrtreme cold conditions are required to set the curd
A stock is expected to pay a dividend of 1 at the end of the year The required rate of return is rs 11 percent and the expected constant growth rate is 5 percent?
A stock is expected to pay a dividend of $1 at the end of the year. The required rate of return is rs 11%, and the expected constant growth rate is 5%. What is the current stock price?
What special conditions are required to grow wheat?
Topsoil, nitrogen fertilizer, moisture, and wheat seeds are not special conditions, but they are required to grow wheat.
