答案和详解如下： 11.A firm in stable growth phase should have: A) a growth rate higher than that of the economy and a required rate of return that is greater than the market rate of return. B) a growth rate lower than that of the economy and a required rate of return less than the market rate of return. C) a required rate of return close to the market rate of return and capital expenditures that are not too large relative to depreciation expense. D) capital expenditures that are less than the depreciation expense. The correct answer was C) A firm that is in a stable growth phase should have growth rate close to that of the economy, and the cost of equity should approximate the required rate of return on the market. In addition, the capital expenditures should not be disproportionately large relative to the depreciation expense. 12.The one-stage (stable growth) free cash flow models assume: A) the required rate of return is less than the growth rate. B) a high-growth rate for n years and then a constant growth rate forever thereafter. C) a constant growth rate for n years and a high growth rate forever thereafter. D) the required rate of return exceeds the growth rate. The correct answer was D) The one-stage model using either free cash flow to equity (FCFE) or free cash flow to the firm (FCFF) assumes that the required rate of return exceeds the growth rate. If this was not the case, the model would produce an unrealistic negative price. 13.Which of the following types of companies is the two-stage free cashflow to equity (FCFE) model best suited for? Companies: A) with patents or firms in an industry with significant barriers to entry. B) growing at a rate similar to or less than the nominal growth rate of the economy. C) in high growth industries that will face increasing competitive pressures over time, leading to a gradual decline in growth to a stable level. D) that pay out all of their earnings as dividends. The correct answer was A) The two-stage model is best suited to analyzing firms in a high growth phase that will maintain that growth for a specific period, such as firms with patents or firms in an industry with significant barriers to entry. Companies growing at a rate similar to or less than the nominal growth rate of the economy are best suited for the Stable Growth FCFE Model. Companies in high growth industries correspond to the E Model (Three-Stage FCFE Model). A firm that pays out all of its earnings as dividends will have a growth rate of zero (remember g = RR*ROE) and would not be valued using the two-stage FCFE model. 14.A three-stage free cash flow to the firm (FCFF) is typically appropriate when: A) the required rate of return is less than the growth rate in the last stage. B) growth is currently low and will move through a transitional stage to a final stage wherein growth exceeds the required rate of return. C) growth is currently high and will move through a transitional stage to a steady-state growth rate. D) a constant growth rate for the foreseeable future. The correct answer was C) The three-stage model using either FCFE or FCFF typically assumes that growth is currently high and will move through a transitional stage to a steady-state growth rate. Multi-stage models assume that the required rate of return exceeds the growth rate in the last stage. 15.Which of the following statements regarding the FCFF models is most accurate? The two-stage FCFF model is more useful than the stable-growth FCFF model when the firm is growing at a rate: A) significantly higher than that of the overall economy. B) significantly lower than that of the overall economy. C) not significantly higher than that of the overall economy. D) not significantly lower than that of the overall economy. The correct answer was A) The two-stage FCFF model is more useful in valuing a firm that is growing at a rate significantly higher than the overall economy. Since this cannot persist indefinitely, growth will eventually slow to a stable growth rate consistent with that of the economy. | 
发表于 2008-5-20 13:48
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