In the basic valuation model, risk is generally incorporated into the ________.

Name: In the basic valuation model, risk is generally incorporated into the ________.
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In the basic valuation model, cash flows and timing are assumed to be certain. Therefore, risk is incorporated into the discount rate. This is because the discount rate reflects the investor's required return, which takes into account the level of risk associated with the investment.

In the Basic Valuation Model, Risk Is Generally Incorporated into the ________