to value a stock. This paper aims at using a valuation model based on Discounted Cash Flow method, EV/EBITDA method and PE ratio method on various sectors. We have done an analysis on these three models of valuation to conclude which one of them is the best suited. The value of an asset is the future cash flow it can generate discounted at a rate that indicates the risks of the asset. Therefore the Discounted Cash Flow (DCF) method is widely used to gauge the true value of an asset. EBITDA/EV has historically
INTROUCTION Working capital is a financial metric which represents operating liquidity available to a business, organization or other entity, including governmental entity. Along with fixed assets such as plant and equipment, working capital is considered a part of operating capital. Gross working capital equals to current assets. Working capital is calculated as current assets minus current liabilities. If current assets are less than current liabilities, an entity has a working capital deficiency
companies integrate social and environmental concerns in their business operations and interactions with their stakeholders. CSR is generally understood as being the way through which a company achieves a balance of economic, environmental and social imperatives, while at the same time addressing the expectations of shareholders and stakeholders. In this sense it is important to draw a distinction between CSR, which can be a strategic business management concept, and charity, sponsorships or philanthropy
important business decisions. The role of financial reporting for banks is crucial importance for the efficiency of banks' operations. Data needed for adequate financial reporting are found in the financial statements. In recent years, there has been a growing need for calculating performance of banks by using the information from the financial report. Importance of a specific analysis for banks: Financial accounting is providing solid information basis that helps banks to reach important business decisions
As discussed within the financial analysis section, SiriusXM has developed and extraordinary record of creating free cash flow of $1 billion annually. Cash flow of that magnitude affords management much breathing room and the ability to make company enhancing strategic decisions. Limiting management’s financial maneuverability is a crushing load of debt and shares outstanding. The financial
SOLUSI UNIVERSITY FACULTY OF BUSINESS DEPARTMENT OF ACCOUNTING A report done in partial fulfillment of the course required Financial Accounting (ACCT 111) Question: Explain the IAS and the IFRS. Presented By: Abigail P. Ebel ID: 2015050155 Lecturer: B. Ndiweni First written in 1973, International Accounting Standards (IAS) are issued by International Accounting Standard Board (IASB) since 2001, and its predecessor, International Accounting Standard Committee (IASC)
SOLUSI UNIVERSITY FACULTY OF BUSINESS DEPARTMENT OF ACCOUNTING A report done in partial fulfillment of the course required Financial Accounting (ACCT 111) Question: Explain the IAS and the IFRS. Presented By: Abigail P. Ebel ID: 2015050155 Lecturer: B. Ndiweni First written in 1973, International Accounting Standards (IAS) are issued by International Accounting Standard Board (IASB) since 2001, and its predecessor, International Accounting Standard Committee (IASC)
compare the bank account balance with the balance stated in the bank statement and reconcile the balance. Accounting Coach explained that the purpose of reconciling the bank statement is to know that the amount of Cash reported by the company (company's books) is consistent with the amount of cash shown in the bank's records. It also serves to detect any discrepancies between the accounting records of the entity and the bank besides those due to normal timing differences. Such
Current assets are assets which are easily converted into cash without diminishing their values and are likely to change their form within one accounting period. This comprises of inventory, receivables and cash. Current liabilities on the other hand are essentially bills and debt due suppliers and creditors within a short period of time. These are mostly referred to as accounts payables
means the difference between current assets and current liabilities Pandey (2004). According to Rose et al. (2000) a company’s working capital policy refers to the determination of an appropriate level for each of the component of working capital viz. cash, accounts receivable, inventories etc. And they defined working capital management as setting working capital policy and implementing it on day today basis. A company’s working capital affects its liquidity as well as profitability. Hence, it should