The value of a firm will increase if there is a reduction in the uncertainty associated with the firm's cash flows.

Name: The value of a firm will increase if there is a reduction in the uncertainty associated with the firm's cash flows.
Brand: Quizplus
Rating: 4.7 (38 reviews)

Question

Quizplus · Accepted Answer

Reducing the uncertainty associated with a firm's cash flows typically makes the firm more attractive to investors, as it implies more predictable and stable returns, thereby potentially increasing the firm's value.

The Value of a Firm Will Increase If There Is