There are three major factors that determine the market value of a company's share of stock. All of the following are factors EXCEPT _____.
A) amount of cash flows expected
B) sales generated
C) timing of cash flows
D) risk taken to generate cash flows

Question

Quizplus · Accepted Answer

The three major factors that determine the market value of a company's share of stock are the amount of cash flows expected, the timing of cash flows, and the risk taken to generate cash flows. Sales generated are related to cash flows, but they are not a direct factor in determining the market value of a company's share of stock.

There Are Three Major Factors That Determine the Market Value