Question: Short Answer: 1. Explain why DCF analysis as commonly used in a market valuation is a combination of discounted cash flow and direct capitalization methods.

Short Answer:

1. Explain why DCF analysis as commonly used in a market valuation is a combination of discounted cash flow and direct capitalization methods.

2. Does a zero NPV imply that the investors expected yield is equal to zero? Explain why or why not.

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