On the Use of Size Premiums, Arithmetic or Geometric Average Returns, and Liquidity Premiums in Determining Discount Rates

In recent court cases, a number of technical issues have arisen in determining appropriate discount rates for use in the discounted cash flow approach to valuation. This article examines three issues, reviews the literature about the issues, and summarizes the key considerations.

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Year of publication:	2007
Authors:	Heaton, Hal B.
Publisher:	University of Ulster
Subject:	discount rates \| size premium \| geometric averages \| equity risk \| liquidity premium

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Type of publication:	Article
Notes:	FinanceDepartment; MarriottSchool; H.B. Heaton. "On the Use of Size Premiums, Arithmetic or Geometric Average Returns, and Liquidity Premiums in Determining Discount Rates," Journal of Property Tax Assessment and Administration, Volume 4, #4 (Fall, 2007), pp5-12.; Brigham Young University; Marriott School of Management; Finance;
Source:	BASE

Persistent link: https://ebvufind01.dmz1.zbw.eu/10009456897