Questions tagged [corporate-finance]
The corporate-finance tag has no usage guidance.
6
questions
3
votes
2answers
235 views
How to justify the treatment and control groups for Difference-In-Difference with staggered implementation of laws?
A. Background:
Dong, 2019 and Dasgupta, 2019 used the same way to generate the treatment and control groups because they all learn about the impact of the same laws on different dependent variables. I ...
6
votes
2answers
374 views
Foundational equations or concepts of Finance
The following is paraphrased from: Fundamental equations in economics
For the other sciences it´s easy to point to the most important equations, inequalities, propositions or concepts that ground the ...
2
votes
0answers
75 views
If the company were to buy back all their shares, does that mean the company would own itself? [closed]
If a publicly traded company buys back all it's shares from the public, majority holder and every last person that owns it's shares who would own the company? Obviously, it wouldn't be a normal ...
0
votes
1answer
97 views
Definition of market to book value?
What is the difference between (market value of equity/book value of equity) ratio and (market value of assets/book value of assets) ratio?
In my opinion both measure fairly the same? Is this correct?...
3
votes
3answers
1k views
Deriving and explaining the weighted cost of capital
The Wikipedia article for the "weighted cost of capital" (WACC) defines the WACC
as "the rate that a company is expected to pay on average to all its security holders to finance its assets." What ...
1
vote
1answer
54 views
How can a company run out of cash when its stock prices is dropping?
For instance, in 2008, the Royal Bank of Scotland saw its stock price drop by ~30% in a day, and it was apparently impossible for the bank to make it till the end of the day because it would run out ...
