Financial Stability

Instruments and monitoring of technology offers greater financial stability and makes forecasting in the valuation model difficult. When volatility increases, the discount rate of future cash flow increases and thus lowers the value of the cash flow and company. … "Financial Stability" has a significant impact, so an analyst should put more weight into it. "Financial Stability" will have a long-term positive impact on the this entity, which adds to its value. This statements will have a short-term positive impact on this entity, which adds to its value. This qualitative factor will lead to a decrease in costs.