Define each of the following terms:a. Mission statement; corporate scope; statement of corporate objectives; corporatestrategiesb. Operating plan; financial planc. Spontaneously generated fundsd. Additional Funds Needed (AFN); AFN equatione. Capital intensity ratio; sustainable growth ratef. Forecasted financial statements; retention ratiog. Excess capacity adjustmentsh. Regression analysis

Corporate Fin Focused Approach
5th Edition
ISBN:9781285660516
Author:EHRHARDT
Publisher:EHRHARDT
Chapter12: Corporate Valuation And Financial Planning
Section: Chapter Questions
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Define each of the following terms:
a. Mission statement; corporate scope; statement of corporate objectives; corporate
strategies
b. Operating plan; financial plan
c. Spontaneously generated funds
d. Additional Funds Needed (AFN); AFN equation
e. Capital intensity ratio; sustainable growth rate
f. Forecasted financial statements; retention ratio
g. Excess capacity adjustments
h. Regression analysis

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