defour44

I know the feeling, right when you dont understand something, you feel it'll be tested on the exam.

Well heres the kicker:
In almost every chapter, there are things i don't understand or don't remember, can't assume that it'll be tested. I'll be fooked. infact, still have 75% of the course material to go.

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Uses of FCFE = Sources of FCFE (remember this and you'll be fine).

Uses are those items, that which when added/subtracted would give you the FCFE number.
Sources are those items, which gives you the FCFE number.


One way I think about the sources and uses, is that USES is an INDIRECT method of computing FCFF/FCFE. and SOURCES is a DIRECT method of computing FCFF/FCFE. It's very much like computing CFO from NI indirectly, or computing from direct method.



Edited 1 time(s). Last edit at Sunday, May 22, 2011 at 03:53PM by pepp.