Key difference between the APV-WACC and FTE approaches

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A key difference between the APV, WACC, and FTE approaches to valuation is:

how the unlevered cash flows are calculated.

how the ratio of equity to debt is determined.

how the initial investment is treated.

whether terminal values are included or not.

how debt effects are considered; i.e. the target debt to value ratio and the level of debt.

Reference no: EM13925350

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