FINANCIAL ANALYSIS FUNDAMENT FOR ASSESSMENT THE VALUE OF THE COMPANY
Journal Title: UTMS Journal of Economics - Year 2010, Vol 1, Issue 1
Abstract
Lack of capital market development cause that calculating the value of companies in the small markets, such as the Croatian market, is carried out primarily from the analysis of financial statements. Lack of market development is evident from the unrealistic and unobjective corporate values, as result of too small volume of securities trading in financial markets. The primary financial analysis is the basic method for estimating company value, and represents the foundation for an objective determination of cash flow components that will be discounted. Trought analysis investors are trying to answer the questions such as: status of the assets, liabilities and capital, the dynamics of business enterprises, the level of solvency and liquidity, utilization of fixed assets, contribution of fixed assets in total income, company profitability rates and investment in the company. Investors use financial analysis only as a basis and as a tool to predict the potential for creating new business value.
Authors and Affiliations
Goran Karanovic, Sinisa Bogdan, Suzana Baresa
Keywords
Related Articles
- EP ID EP273563
- DOI -
- Views 177
- Downloads 0
INVESTMENT EFFICIENCY IN NEW HOTEL BUILDINGS IN CROATIA
Abandonment of mass tourism in the late 80-ies of 20th century and attitude of humane tourism oriented to the needs and requirements of individuals, it is characterized by changes in the design and architectural design o...
TACKLING THE ILLEGAL PRACTICE OF UNDER-REPORTING EMPLOYEES’ WAGES: LESSONS FROM THE REPUBLIC OF MACEDONIA
Recently, there has been growing recognition that some formal employees receive from their formal employers two wages, namely an official declared wage plus an additional undeclared (envelope) wage, which reduces the tax...
CAPITAL INVESTMENTS AND FINANCIAL PROFITABILITY
Economic life of achieving economic and financial effects of an investment opportunity presents the period in which selected investment option remains economically superior from the other alternative investment opportuni...
CUSTOMER RELATIONSHIP MANAGEMENT: CONCEPT AND IMPORTANCE FOR BANKING SECTOR
Customer Relationship Management concept is tendency of banking sector to establish and maintain long-term relationships with customers in order to provide value for customers and banks. This concept allows bank to ident...
ANALYSIS OF THE OPPORTUNITIES FOR DEVELOPEMENT THE RURAL TOURISM SUPPLY ON MOUNTAIN SKOPSKA CRNA GORA
Macedonia, as a future member of the European Union, is facing an important and difficult task: to promote its tourism supply according to the leading European Countries in order to achieve competitive advantage in touri...