Member Directory | NACVA Site Search:

Explaining the Single-Period Capitalization Model: A Special Case of the Discounted Cash Flow Model




 Explaining the Single-Period Capitalization Model: A Special Case of the Discounted Cash Flow Model
CPE Credit

Program Type: Recorded Webinar (Audio, PPT Presentation)
Program Level: Basic
Prerequisites: Previous training or experience with the fundamentals of accounting, finance, economics, and business writing.
Advanced Preparation: None
Delivery Method: Group Internet-Based
CPE Credits: One (1) Hour
Fields of Study: Finance
Item Number: 15PBV1008
Shipping Weight: 0lbs. 0oz.
Price: $80.00
Program Description

This webinar will focus on two key questions:

1) Why does the Single-Period Capitalization (SPC) Model estimate the value of a stable income stream (that is, how does the SPC Model work)?

2) How can business appraisers explain the Discounted Cash Flow (DCF) Model to clients in a clear, concise manner?

The webinar will focus on a brief derivation of the SPC Model, a numerical example showing the relation between the SPC Model and the DCF Model, and a discussion of how to apply the SPC Model in practice.

Learning Objectives

After completing this webinar, attendees will be able to:

- Articulate the theoretical underpinnings of the SPC Model
- Explain the relation between the SPC Model and the DCF Model
- Identify the characteristics of a valuation assignment that would suggest using either the SPC Model or the DCF Model

Who Should Attend

Business appraisers (practitioners)

Presenter(s)

M. Mark Walker, PhD, CFA, CBA
M. Mark Walker, is an associate professor of finance at the University of Mississippi. His teaching and research interests include corporate finance and investments. He has written over 25 articles on various financial topics including analysts' recommendations, mergers and acquisitions, bondholder wealth, and business valuation. Dr. Walker serves as co-chair of the Board of Governors for the Institute of Business Appraisers, and he is a member of the Board of Trustees for the Financial Executives Research Foundation.