In today’s class, we started with the cost of debt and computing debt ratios for companies and how to deal with hybrid securities.. If you are interested in getting updated default spreads (on the cheap or free), try the Federal Reserve site in St. Louis:
https://fred.stlouisfed.org
These are spreads on indices created by rating, updated daily. Neat, right? We then moved on to earnings and cash flow’s and after a introduction to cash flows, I promised you a link to the post on Microsoft where I talk about the differences in free cash flows:
https://aswathdamodaran.blogspot.com/...
We ended the class by noting that leases are debt, and while accountants should always treated them as such, they came to their senses in 2019. With R&D, I am afraid that accountants have still not come to their senses, and we are stuck with having to do the correction ourselves.. .

Start of the class test: https://pages.stern.nyu.edu/~adamodar...
Slides: https://pages.stern.nyu.edu/~adamodar...
Post-class test: https://www.stern.nyu.edu/~adamodar/p...
Post-class test solution: https://www.stern.nyu.edu/~adamodar/p...