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The percent of sales method of forecasting assumes that fixed assets vary proportionately with sales.​

Discounting refers to the process of bringing the future back to the present.​

The percent of sales method of forecasting assumes that fixed assets vary proportionately with sales.​

Discounting refers to the process of bringing the future back to the present.​

​The more frequently interest is compounded, the larger will be the final or terminal amount.

Retained earnings represents the earnings accumulated by the firm over its life.​

Because interest is a tax-deductible expense, the effective cost of debt is less than the stated rate of interest.

The marginal cost of capital

Risk analysis may be introduced by

The retention of earnings instead of paying dividends