Equity Shares Equating the Results of FCFF and FCFE Methods

The aim of the article is to present the method of establishing equity shares in weight average cost of capital (WACC), in which the value of loan capital results from the fixed assumptions accepted in the financial plan (for example a schedule of loan repayment) and own equity is evaluated by means of a discount method. The described method causes that, regardless of whether cash flows are calculated as FCFF or FCFE, the result of the company valuation will be identical

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Year of publication:	2013
Authors:	Cegłowski, Bartłomiej
Other Persons:	Podgorski, Blazej (contributor)
Publisher:	[2013]: [S.l.] : SSRN
Subject:	Theorie \| Theory \| Aktie \| Share \| Unternehmensbewertung \| Firm valuation \| Cash Flow \| Cash flow \| Kapitalkosten \| Cost of capital

Extent:	1 Online-Ressource (10 p)
Type of publication:	Book / Working Paper
Language:	English
Notes:	In: e-Finanse Financial Internet Quarterly, 2012, Vol. 8, No. 2 Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments September 1, 2012 erstellt
Classification:	G31 - Capital Budgeting; Investment Policy ; G32 - Financing Policy; Capital and Ownership Structure ; G39 - Corporate Finance and Governance. Other
Source:	ECONIS - Online Catalogue of the ZBW

Persistent link: https://www.econbiz.de/10013089815