Search results for the "Valuation" tag
Jun 30, 2011 - by András Lendvai
Enterprise Value and Contractual Purchase Price – Debt Free Cash Free Valuation
The valuation of the target company is a substantial element of any given acquisition transaction. This article showcases the DFCF (debt free cash free) standard for enterprise valuation and the issues raised in the context of transaction contracts. The DFCF valuation is a calculation that ignores how the target company’s business is funded. The DFCF valuation shows the value of the company without accounting for the net cash or net debt held by the company, either on average during the year, or at closing.
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Nov 14, 2011 - by Brett Cooper
ASC 820 - Fair Value Measurements and Disclosures sets forth the definition of Fair Value as "The price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date". Paramount to the definition is the concept of the "Market Participant".
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Dec 2, 2011 - by Mike Rosendahl
America's power sector is at a crossroads. Rising demand for clean forms of power is now juxtaposed against the growing need for inexpensive energy, creating a situation that is increasingly conflicted. Recent economic challenges have made decisions even more difficult for electric power producers. In 2009, electricity generation decreased 4.1 percent, settling at its lowest level since 2003, representing the largest decline in six decades. In addition to the recent economic downturn, expanding environmental policy and increasing prices of certain fuels have forced electric power producers to invest in alternatives to coal such as natural gas. Investment decisions also have been impacted by the recent accident at a nuclear power plant in Japan that, at least temporarily, diminished renewed enthusiasm for nuclear power expansion.
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