Evaluation of a company using the discounted cash flow method under the income approach
Bella Kornienko
Abstract. In modern conditions, different approaches are used for enterprise valuation, in which certain methods can be allocated. To obtain accurate and reliable information regarding cost of an object, it is necessary to have clear understanding of advantages and disadvantages of chosen methods of enterprise valuation. The paper deals with income approach to assessment of business; enterprise value is determined by cash flows discounting.
Keywords:
evaluation of a company, the problem of evaluation, the purpose of assessing the business, approaches to business valuation, income approach, the income approach method, discounted cash flow, capitalization of income