| adjusted present value (APV) | Net present value adjusted for taxes, financial distress costs and other financial side-effects.
|
 |
|
|
| flow to equity (FTE) | A valuation approach that emphasizes cash flows to equity.
|
|
|
|
| weighted average cost of capital | The average cost of capital on the firm's existing projects and activities. The weighted average cost of capital for the firm is calculated by weighting the cost of each source of funds by its proportion of the total market value of the firm. It is calculated on a before- and after-tax basis.
|