Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AFM Exams › Valuation of high Growth start Ups
- This topic has 8 replies, 3 voices, and was last updated 12 years ago by John Moffat.
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- November 14, 2012 at 2:56 am #55277
Plz explain this concept to me…
Is it same to estimating free cash flows with same growth in revenue and cost but only difference here is revenue and cost growth rate is different????
Please Sir John!!!
November 14, 2012 at 2:57 am #107293Sorry not froth its “growth “
November 14, 2012 at 4:44 am #107294Not necessarily. Your product might become more competitive, therefore growth in revenue, but your cost may remain the same as your suppliers did not change for business processes.
For finance paper, I think normally assume growth rates for revenue and costs are the same. If not, you can assume growth rate is based on revenue.November 14, 2012 at 7:33 am #107295I am asking in respect to last topic in Merger and Acquisition Chapter of BPP
November 14, 2012 at 3:53 pm #107296@aqadirshaikh said:
Sorry not froth its “growth “You can edit directly, no need to say made an mistake.
November 14, 2012 at 9:36 pm #107297I agree with dazhong0703 🙂
(and you worried my with the heading – I have never heard of ‘high froth startups’!!!
🙂November 15, 2012 at 2:05 am #107298Ok i will come with fresh query with perfect heading I think……..!
November 15, 2012 at 2:37 pm #107299Please explain Sir.
November 15, 2012 at 3:16 pm #107300I am not sure what you want me to explain – dazhong0703’s answer was good.
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