question archive [1] Market Value of The Firm = Book Value of Equity + PV(All futures RIs) + MV(Debt) and [2] Market Value of The Firm = Total Capital + PV(All futures EVAs) Based on the above two equations, clearly explain whether we can combine the above two questions together to have the following result: Total Capital = Book Value of Equity + MV(Debt)
Subject:FinancePrice: Bought3
[1] Market Value of The Firm = Book Value of Equity + PV(All futures RIs) + MV(Debt)
and
[2] Market Value of The Firm = Total Capital + PV(All futures EVAs)
Based on the above two equations, clearly explain whether we can combine the above two questions together to have the following result:
Total Capital = Book Value of Equity + MV(Debt)