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    DCF Evaluation to Judge Use

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    How would you answer to a manager that says "using a DCF method to evaluate projects is worthless and a waste of time"?

    © BrainMass Inc. brainmass.com June 3, 2020, 7:32 pm ad1c9bdddf

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    The investment decisions of a firm are generally known as the capital budgeting, or capital expenditure decisions. The firm's investment decisions would generally include expansion, acquisition, modernization and replacement of the long-term assets. Sale of a division or business (divestment) is also as an investment decision.

    Decisions like the change in the methods of sales distribution, or an advertisement campaign or research and development programs have long-term implications for the firm's expenditures and benefits, and therefore, ...

    Solution Summary

    330 words evaluation of DCF methods as a way of assessing projects' worth.