Cost of Capital Workbook (Second Edition)

"As a discussion leader for the AICPA ABV exam review course, this set of questions is perfect for people to use for practice for that exam & others (ASA and NACVA from my experience), for that matter. The mix of formats, including exercises, is great."-Ronald L. Seigneur, Seigneur & Company, PC, CPAs, Lakewood, Colorado  Cost of capital estimation has long been recognized as one of the most critical elements in business valuation, capital budgeting, feasibility studies, & corporate finance decisions-it is also, however, one of the most difficult procedures to perform & assess. The Cost of Capital Workbook will help financial officers of small, midsize, & even multi-billion dollar companies estimate required rates of return & tackle the myriad issues associated with cost of capital. It will also help business valuation professionals of all levels to gain a greater understanding of cost of capital concepts & procedures. Using hands-on exercises designed to implement procedures described in Cost of Capital, Second Edition, the Cost of Capital Workbook provides a deeper understanding of cost of capital problems by offering a practical experience in applying solutions. The Workbook includes multiple choice, true or false, & fill-in-the-blank questions as well as:* Exercises estimating cost of capital by the build-up model & the Capital Asset Pricing Model* Exercises using Ibbotson Associates' Stocks, Bonds, Bills, & Inflation Valuation Edition Yearbook* Applications using discounted cash flow (DCF) methods, based on forecasted earnings & cash flows* Examples covering valuing a business by both equity & invested capital procedures, making project selections, & utility-rate determinations* Numerous exercises using Ibbotson data from the Cost of Capital Workbook Business appraisers, corporate finance officers, CPAs, & attorneys will find the Cost of Capital Workbook an indispensable guide to the effective estimat