Part 1 Briefly discuss your understanding of risk return and capital structure t

Part 1
Briefly discuss your understanding of risk return and capital structure to the Law of One Price.
Must be answered in (200) words not including references.
Part 2
Responses to each question below should be a (1000) words for each question, using APA
format not including references.
1. When should the WACC and the APV be used? How do personal taxes affect the use of
these two methods? Use examples when explaining your answer. 1000 words
2. Explain the use of IRR and cash multiples as alternative valuation metrics, and discuss
the drawbacks of those methods. In your answer, include how sensitivity analysis affects
the evaluation process.1000 words