PracticeQuiz content is free on an ad-supported model.

Unfortunately, we can't support ad blocker usage because of the impact on our servers. If you'd like to continue, please disable your ad blocker and reload page.

Reload page

CFP Certified Financial Planner Test Prep

Category - Foundation

Start a Study Session Sign up for Question of the Day

What would be the market value of a company if its annual cash profit is $8 million and its WACC is 10%?

$90 million
$85 million
$80 million
None of the above

Explanation

Answer: C - The market value of a company is equal to its annual profits divided by its WACC. In this case, $8 million / 0.10 = $80 million.

Previous Next

Was this helpful? Upvote!

Start a Study Session Sign up for Question of the Day

Most popular on PracticeQuiz

221 votes

You are attempting to gather information from a patient, but they are having a hard time trying to communicate since they were hit in the throat by a baseball bat. What is the function of the vocal cords? NREMT Advanced EMT
210 votes

An 8-year-old boy named Albert has a 10-year-old brother named Benny. Benny joins the service at 20 leaving Albert feeling bitter that he no longer has a brother to look up to. After 7 years, Albert is finally ready to make up with Benny who has been out of the service for 5 years. How old is Albert now? GED Exam Prep: Math
191 votes

Using motivation from ‘within’ is called ______________. CPCE Exam Prep
180 votes

The lymphatic system contains four organs: Medical Coding Exam Prep
129 votes

“A set of specialized organizational capabilities for providing value to customers in the form of services” is the official definition of: IT Service Management Foundation Practice Test

CFP Certified Financial Planner Test Prep

Top questions

Related questions

Most popular on PracticeQuiz

Ad-Blocker not supported

CFP Certified Financial Planner Test Prep

Top questions

Related questions

Most popular on PracticeQuiz