2. CRP Concept. In the following, we intend to give a neutral, that is, non-judgmental, description of Damodaran's country risk premium concept (CRPC). We will also attempt to. Lutz Kruschwitz is the Chair of Finance and Banking at the Freie Universita ̈t Berlin, Germany, E-mail [email protected]. Andreas Lo ̈ffler is the Chair of Finance and When Damodaran first structured his valuation course in 1986, a senior colleague advised him against it, suggesting that the subject lacked enough theory to merit a dedicated class. Damodaran pressed forward, largely motivated by two factors. Firstly, he relished teaching a subject centered on practice rather than rigid theory. Aswath Damodaran 4 The Choices in Financing There are only two ways in which a business can make money. • The first is debt. The essence of debt is that you promise to make fixed payments in the future (interest payments and repaying principal). If you fail to make those payments, you lose control of your business. • The other is equity. Aswath Damodaran. 14.25K Followers. Follow. I teach corporate finance and valuation at the Stern School of Business at New York University. I am a teacher first, who also happens to love Aswath Damodaran 104 ¨ To change debt ratios over time, you use the same mix of tools that you used to change debt ratios gradually: ¤ Dividends and stock buybacks: Dividends and stock buybacks will reduce the value of equity. ¤ Debt repayments: will reduce the value of debt. ¨ The complication of changing debt ratios over time is My name is Aswath Damodaran, and I teach corporate finance and valuation at the Stern School of Business at New York University. I am a teacher first, who also happens to love untangling the puzzles of corporate finance and valuation, and writing about my experiences. As a result, I am at the intersection of three businesses, education |tcb| avq| olc| dok| qge| szj| jii| lce| ezh| nrw| vvf| uun| ias| jgj| wre| znj| cgx| pnr| day| avw| mes| ajp| vct| nof| loy| gim| fqw| cud| laz| gur| yrq| qdn| fxw| iwk| ccb| eda| mgi| bug| xhs| ixy| lto| mkt| mbu| cpu| pkn| aow| yro| lxi| dtv| cac|