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Question 8 The business with a net present value (NPV) of a firm equal to 50 is an example of a fairly valued business. (All else equal.) True False

Question 8 The business with a net present value (NPV) of a firm equal to 50 is an example of a fairly valued business. (All else equal.) True False

Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Question 8 The business with a net present value (NPV) of a firm equal to 50 is an example of a fairly valued business. (All else equal.) True False Previous Question 9 All else being equal, a company with a large EV/Capital ratio will tend to have a large return on capital (ROC). True False
Transcribed Image Text:Question 8 The business with a net present value (NPV) of a firm equal to 50 is an example of a fairly valued business. (All else equal.) True False Previous Question 9 All else being equal, a company with a large EV/Capital ratio will tend to have a large return on capital (ROC). True False
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