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It should be the sum of the value of the enterprise and the intangible value of the enterprise. The definition of enterprise value given by financial economists is: the value of an enterprise is the present value of the expected free cash flow of the enterprise discounted at its weighted average cost of capital at the discount rate, which is closely related to the financial decision-making of the enterprise and reflects the time value, risk and sustainable development ability of the enterprise's funds.
Expanding to the field of management, enterprise value can be defined as the ability of an enterprise to follow the law of value and make all corporate stakeholders (including shareholders, creditors, managers, ordinary employees, etc.) obtain satisfactory returns through value-centered management. Obviously, the higher the value of a business, the higher its ability to give returns to its stakeholders. And this value can be measured by its economic definition.
The so-called intangible value of the enterprise is a more complex concept, but it is very important, it is related to the enterprise's **, corporate culture and corporate reputation, compared with the enterprise value, it has no form, but it plays a certain role in the total value of the enterprise, and it is obviously on the financial assets of the enterprise. This is a foolish opinion under the opinion, for reference!
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Hello classmates, I'm glad to answer for you!
The translation and meaning of this word is as follows: measure the company's financial risk by calculating the proportion of the company's assets from debt financing. It is calculated as short-term debt plus long-term debt, divided by the company's total assets.
Hope Gordon Online School.
Questions are welcome to be submitted to Gordon Enterprises.
Gordon wishes you a happy life!
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Hello, your value in the company mainly comes from two aspects: first, improve your professional knowledge and ability, and achieve better self-deception. 2. Contribute to the development of the company and integrate what you have learned into the social construction.
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The value of an enterprise is the value of the expected free cash flow of the enterprise discounted at the discount rate with its weighted average cost of capital, which is closely related to the financial decision-making of the enterprise, reflecting the time value, risk and sustainable development ability of the enterprise's funds. Enterprise value refers to the value of a sustainable business that is completely different from the value of the enterprise at the time of liquidation. Comparatively speaking, the value of a business is dynamic, whereas the value of a business at the time of liquidation is static.
1.Corporate value is dynamic. According to the definition of enterprise value, only a going concern that generates free cash flow can return to a variety of stakeholders.
Firms that can make this return more than a necessary level (i.e., opportunity cost) are considered to be creating value. On the contrary, if it is lower than the level of car search, it is a loss of value. At this time, there will be a series of consequences such as shareholders selling **, creditors no longer lending to the enterprise, and managers looking for other branches.
This can be disastrous for businesses.
2.The liquidation value is static. The value of an enterprise at the time of liquidation generally refers to the residual value of fixed assets.
At this time, the enterprise can no longer create sustainable revenues and cannot meet the basic returns required by various stakeholders. This value is not of guiding significance for improving the management level of enterprises. From this point of view, enterprise value is more meaningful than a static closing value.
Therefore, the study of what kind of enterprise is creating value, how to enhance enterprise value, and how to apply enterprise value theory in enterprise management should be based on enterprises in continuous operation.
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What determines the value of a company?
Past profitability? How much money do you make now? How much money will you make in the future?
I think anyone with a little bit of financial knowledge will know that the value of a company is a discount of future cash flows. To put it simply, the money made by the past and present companies belongs to the past investors and not to the new investors. And only future profits belong to the new investors.
But why is it said here that future cash flow is being talked about? Because the net profit thing itself is a numbers game, a company can grow well without profits, such as Amazon, which constantly invests in the future, causing its profits to continue to lose. However, a company cannot have negative cash flow for a long time, because without cash flow, the company will not be able to pay salaries and go bankrupt.
Why say so much? Because I found that there is a strange phenomenon that the market likes to score companies based on their past earnings. There is some truth here, that is, the top students will continue to perform better.
However, will there be a chance that what was originally a poor student will gradually become an excellent student? I think there are a lot of them, and these kinds of opportunities tend to exist in companies that have just been restructured, companies that are desperately trying to develop and develop. Recently, I also observed a phenomenon called goodwill impairment, which is very interesting.
It is probably that if the restructured company's performance is not up to standard in the past few years, it will have to make a loss. Of course, this itself has a certain degree of reasonableness, especially for the company that was originally bought back with 100 yuan and is now only worth 10 yuan, of course, it has to make a loss of 90 yuan. But if you bought a 100 yuan company for 100 yuan, and people have invested in research and development in recent years, resulting in the performance not meeting the standard, you also make a loss of 90 yuan.
Then Zhengji is wrong at this time. In layman's terms, you bought a house of 10 million yuan, and in the past two years, because of the investment of 500,000 yuan in decoration, you can only rent it for half a year, so your rent is a loss from the perspective of cash flow. At this time, can you say that this house is not worth 10 million, but only a few million?
Or even a few million losses? Of course not! But such a ridiculous thing happened in the capital market.
I believe there will be great opportunities here, provided you have the wisdom and courage to discover Pena it!
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