Question 1: Comprehensively explain, using numerical examples,
why companies create value by investing capital, from investors, to
generate future cash flow at a rate of return exceeding the cost of
capital.
Question 2: Comprehensively explain, using numerical examples,
how, as a corollary to Fact 1, value is created by companies, for
shareholders, when companies generate higher cash flows, not when
rearranging investors' claims on those cash flows.
Question 3: Explain why and how a company's performance on the
stock market...