Which of the following factors are not primary drivers of the cash flow characteristics of a new venture?
Group of answer choices
A. Depreciation
B. Speed of Growth
C. Profitability
D. Asset Intensity
Answer:-
The Option A is not the the primary driver of cash flow for a new venture. As in case of new venture there is no depreciation calculated in the starting of the venture.
All the other options B, C and D are primary drivers of cash flow foe a new venture
Option B is speed of growth which is important as how early the company will generate positive cash flows at the earliest.
Option C profitability is a driver as gross margin which is a profitability ratio is considered as the primary driver of cash flow.
Option D Asset intensity is also a primary driver as accounts receivable and inventory are primary drivers of cash flow as both are part of assets.
Hence Option A is the correct Option
Which of the following factors are not primary drivers of the cash flow characteristics of a...
1. Which of the following must be added to Operating Income when calculating Free Cash Flow? Group of answer choices Depreciation Principal payments Interest payments Capital expenditures Tax payments 2. Replacement Value is a variation of: Group of answer choices Market-Comparable Valuation Method Earning Capitalization Method Present Value of Future Cash Flows Method Market Capitalization Method Asset-based Valuation Method 2. Replacement Value is a variation of: Group of answer choices Market-Comparable Valuation Method Earning Capitalization Method Present Value of Future...
Factors that influence of corporate characteristics include the following except a. M N C’s Cash Flow Stability — M N Cs with more stable cash flows can handle more debt because there is a constant stream of cash inflows to cover periodic interest payments on debt. b. M N C’s Credit Risk — M N Cs that have lower credit risk have more access to credit. c. M N C’s Access to Retained Earnings — Highly profitable M N Cs...
Which factors increased volatility of cash flow for GTAT? Select all that apply. a. New product development b. Customer concentration c. Buyer power d. Substitutes
Which of the following statement(s) about limitation of primary production is correct? A. Photosynthesis conducted by plants will continue to increase as light intensity increases provided enough water and other nutrients are available B. Co-limitation of nitrogen and phosphorus is rare in terrestrial ecosystems C. NPP decreases as temperature increases D. In rivers and streams, water flow limits phytoplankton growth and primary production decreases as the river flows downstream E. Both B and D
Which of the following factors does not negatively impact operating cash flows? Group of answer choices Accounts receivable are increasing. Operating costs are increasing faster than sales Inventories are increasing.
Question 31: Which of the following are characteristics of both cancer and development? Group of answer choices a. Development, like cancer, is an active process that never ends throughout the life of the cell.b. b. Both cancer and development can accelerate mutagenesis. c. Both cancer and development involve rapid global changes in gene expression. Question 32: Gain of function mutations tend to be _______________ Group of answer choices a. Conditional b. Incompletely dominant c. Recessive d. Dominant e. Epistatic
Which of the following business factors does not play a role in determining a company's credit rating? Select one: A. Industry characteristics B. Capital structure C. Management D. Profitability E. None of the above
15. What are the two primary factors that are needed for exponential growth? a. Ideal conditions and unlimited resources b. Interspecies competition and unlimited resources c. Energy flow and chemical recycling d. Intraspecies competition and limited resources
Which of these is the weakest reason to prefer using the Discounted Cash Flow Method over the Multiples Method to value firm A which operates in industry B? Group of answer choices a. There is no rush to arrive at an answer. b. You believe the other firms in industry B are generally valued by the market at less than their true worth. c. You think you can accurately project firm A's future cash flows. d. There are many public...
Which one of the following factors is not considered in calculating the firm’s cost of equity? risk free rate of return beta interest rate on corporate debt expected return on equities difference between expected return on stocks and the risk free rate of return Which one of the following factors is not considered in calculating the firm’s cost of capital? cost of equity interest rate on debt the firm’s marginal tax rate book value of debt and equity the firm’s...