1. What are the differences in the roles of a stockbroker, an investment bank and a venture capital firm?
2. Discuss why NOPAT is used in calculating the value of a company instead of net income in the ROPI equity valuation model.
3. Discuss how growth, risk and profitability factors cause differences in price-earnings ratios across firms.
4. Briefly describe how analysts typically forecast each of the following items: Sales, Cost of Sales, Inventory, and Tax expense.