Asked by Luisa Delos Reyes on Apr 29, 2024

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The process of estimating the dividends and earnings that can be expected from the firm based on determinants of value is called

A) business-cycle forecasting.
B) macroeconomic forecasting.
C) technical analysis.
D) fundamental analysis.
E) None of the options are correct.

Fundamental Analysis

A method of evaluating a security in an attempt to measure its intrinsic value, by examining related economic, financial, and other qualitative and quantitative factors.

Dividends

Payments made by a corporation to its shareholder members, often deriving from the company's profits.

Determinants of Value

Factors that influence the worth or price of something, including demand, utility, scarcity, and transferability.

  • Grasp the concept of fundamental analysis in forecasting firm performance.
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CF
Carolyn FroehlichMay 04, 2024
Final Answer :
D
Explanation :
Fundamental analysis involves evaluating a company's financial statements and health, its management and competitive advantages, and its competitors and markets to estimate the future dividends and earnings.