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Stand-alone principle

What does it means when a manager says "Our firm uses the stand-alone principle. Because we treat projects like mini firms in our evaluation process, we include financing costs because they are relevant at the firm level".

Could you help me understand this statement?

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Finance Basics: Stand-alone principle

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Solution Preview :

Prepared by a verified Expert

Finance Basics: Stand-alone principle

Reference No:- TGS0670229

Have a Question? (oR Write a Review)

Recent Questions Asked Finance Basics

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Solution Preview :

Prepared by a verified Expert

Finance Basics: Stand-alone principle

Reference No:- TGS0670229

Recent Questions Asked Finance Basics

Q : What are the limitations on tishs ability to use

Q : Determining the risk-free rate of return

Q : Sociological theoryto understand the social world

Q : Compute the dollar amount of the variable

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Q : A firm evaluates all of its projects by applying irr rule

Q : Pitney bowes-employer health strategy

Q : Nominal annual percentage cost of non-free trade credit

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