Cash flow – an instrumet for annalysing and determining the value of an enterprise Cover Image

Cash flow – an instrumet for annalysing and determining the value of an enterprise
Cash flow – an instrumet for annalysing and determining the value of an enterprise

Author(s): Valentina Dorina Bogdan
Subject(s): Business Economy / Management, Economic policy, Accounting - Business Administration
Published by: Fundatia Română pentru Inteligenta Afacerii
Keywords: cash – flow; value of an enterprise; analysis;

Summary/Abstract: The purpose of this thesis is to understand the logic of the approach based on income and the methods included in this approach. Reading through this paper must provide us with the ability to choose and correctly apply the methods presented in order to estimate the enterprise value. Understanding the method cash - flow update – is conditioned by the differentiation between collection and income, fees and expenses. The profit is the result of comparing revenues and expenses. Not all revenue generate collection at the same time; not all expenses generate payments. Their registration into accounting is delayed. Cash-flow is the evolution of the availability of funds in itself of the company, the evolution of the net treasury. In summary, we note that approach based on income estimates an enterprise value by converting future streams of income in the present value of an enterprise which can generate those cash flows.

  • Issue Year: 2015
  • Issue No: 34
  • Page Range: 569-577
  • Page Count: 9
  • Language: Romanian