Unit 2: Introduction and Approaches of Valuation
Introduction to Valuation
Philosophical Basis, Generalities, and Role This topic introduces the fundamental concepts underp...
Discounted Cash Flow (DCF) Valuation
Basis and Categorization Discounted Cash Flow (DCF) valuation is a fundamental approach that esti...
Numerical example
DCF Valuation Problem: TechGrowth Inc. Problem: TechGrowth Inc. is projected to generate the foll...
Applicability and Limitations of DCF Models
Discounted Cash Flow (DCF) models are powerful valuation tools, but their effectiveness depends ...
Relative Valuation
Basis and Categorization Relative valuation is a valuation approach that estimates the value of a...
Numerical Examples of Relative Valuation
These examples illustrate how to use common multiples in relative valuation. Example 1: Price-to...
Applicability and Limitations of Multiples
Multiples are a widely used tool in relative valuation, offering a quick and easy way to assess ...