What is the difference between the free cash flow to the firm (FCFF) model and the free

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What is the difference between the free cash flow to the firm (FCFF) model and the free cash flow to equity model (FCFE)? How are the discount rates different?

Free Cash Flow
Free cash flow (FCF) represents the cash a company generates after accounting for cash outflows to support operations and maintain its capital assets. Unlike earnings or net income, free cash flow is a measure of profitability that excludes the...
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Related Book For  answer-question

Investment Analysis and Portfolio Management

ISBN: 978-1305262997

11th Edition

Authors: Frank K. Reilly, Keith C. Brown, Sanford J. Leeds

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