Capital Budgeting and Discounted
Capital budgeting refers to the process planning which involves determining and evaluating the potential expenses and investments of a business that are large in nature. A discounted free cash flow model refers to a valuation method that helps in estimating the attractiveness of an investment opportunity. It considers the use of future free cash flow projections and discounts them to determine the present value estimate, thereby evaluating the potential for investment.
To identify:
The connection between capital budgeting and discounted free cash flow model.
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