Just curious:
1. if we used the WACC in the DVM to value a company...what wd the answer depict?
2. if we used the WACC in the DVM to value a share..what wd the answer depict.
3. DVM, with Ke, gives ONLY the equity value of the co. correct?
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DVM
If I'm erong, I hope Sir Moffat will correct me,
1. MVd & MVe
2. I think shares are only valued using ke.
3. Correct :)
9y ago#2taxman123: Please do not answer in this forum - it is Ask the Tutor. By all means though help people in the other P4 forum.
Mansoor:
1. It would give the total value of the company (equity plus debt)
2. You would not do that - it would be meaningless.
3. Correct :-)
I apologise sir.
9y ago#4No problem :-)
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