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Q. Show the Advantages of adjusted discount rate?
Advantages:-
(1) It is simple to understand and simple to calculate.
(2) The risk premium rate comprised in the risk adjusted rate takes care of the risk element in the future cash flows of the project.
(3) It takes into account the risk adverse attitude of investors.
Explain the factors affecting the choice of a maximum cash balance amount. The maximum cash balance amount is defined by available investment opportunities, the expected return o
Determine the meaning of Reportable segments Reportable segments are operating segments or aggregations of operating segments which meet specified criteria(core princ
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