scholarly journals DETERMINANTS OF TRANSPORT COMPANY VALUE AND THE SELECTION OF VALUATION METHODS

2019 ◽  
Vol 7 ◽  
Author(s):  
Eva Adámiková ◽  
Tatiana Čorejová ◽  
Lenka Môcová
Keyword(s):  
Sustainable Growth ◽  
Basic Principles ◽  
Valuation Methods ◽  
Legal Standards ◽  
Company Value ◽  
Sustainable Growth Rate ◽  
Methodological Procedures ◽  
The Impact ◽  
A Company ◽  
Selection Of

The development of a company significantly influences its final value. The value of a transport company can be determined for various legal acts, which also influence the selection of valuation methods. The view of the transport company may differ, depending on whether it is seen by investors or the company owners. Methods of evaluating a transport company, but also of all companies in expert practice, usually follow methodological procedures outlined in the legal standards. These methods are based on basic principles, namely the asset principle, the yield principle, the combined principle, and the market principle. These principles also include other methods of determining the company's value. Each method has its own specifics, a modification of only one model parameter changes the entire company value. The aim of this paper is to analyze the input data and their impact on the value of the transport company from the perspective of various methods. The paper shows the impact of the change in the rate of capitalization and g - the sustainable growth rate and the significant impact of the continuing value on the general value of the company.

The effect of intangible assets on sustainable growth and firm value – Evidence on intellectual capital investment in companies listed on Bucharest Stock Exchange

Kybernetes ◽  
2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Catalin Ionita ◽  
Elena Dinu
Keyword(s):  
Growth Rate ◽  
Intellectual Capital ◽  
Firm Value ◽  
Intangible Assets ◽  
Stock Exchange ◽  
Listed Companies ◽  
Sustainable Growth ◽  
Content Type ◽  
Sustainable Growth Rate ◽  
The Impact

PurposeThe present study investigates the connection between company investments in intellectual capital (IC) and how they translate into financial value. The aim is to test the impact of intangible assets on the firm value and its sustainable growth.Design/methodology/approachThe research employs computation models to determine the sustainable growth rate (SGR) and the firm value (FV), and by using the ordinary least squares (OLS) model through a linear regression assesses the relationship between the dependent variables and expenditures on intangibles like R&D, IT programs and patents. A sample of 42 companies has been selected out of the 78 listed at Bucharest Stock Exchange (BSE), based on the appropriateness of the information disclosed in the financial reports for the period 2016–2019.FindingsThe results show that intangibles classified as innovative competences (R&D and Patents) do not have a positive impact on SGR and FV in listed companies from Romania. Moreover, R&D has a negative and significant effect on FV, while IT Programs have a positive and significant impact on FV, but not on the SGR. Variables categorised as economic competencies (Brands, Shares held in associates and jointly controlled entities) and firm structure-specific variables (Leverage, Firm Performance) seem to have a significant effect on SGR and FV. Shares held in associates and jointly controlled entities is the variable that can have the biggest impact when it comes to FV for companies listed at BSE.Research limitations/implicationsDue to non-disclosure of specific information by some companies, or lack of investments in intangibles the sample had to be reduced and does not cover all listed companies.Practical implicationsCompanies listed on the Regulated Market from the Bucharest Stock Exchange should maintain their scale of liabilities at a reasonable level when financing intangible assets in order to ensure corporate long-term and sustainable development. Also, these companies should maintain awareness about the importance of intangible assets and invest more in specific sub-components, in order to sustain competitive advantage. Recognizing the roles of intangibles, managers need to develop strategies to invest in profitable intangibles by reasonably allocating their limited resources, in order to achieve sustainable growth and increase company success.Originality/valueStudies concerning the relation between investments in intangibles and sustainable growth rate and firm value of listed Romanian companies are very scarce. This paper reveals new research, never before undertaken, concerning expenditures on intangibles by Romanian companies and the valuation of such investments on Bucharest Stock Exchange.

scholarly journals INFORMATION SUPPORTING SYSTEM ABOUT TAX CAPACITY OF A COMPANY AND ITS EFFICIENCY: PRINCIPLES OF FORMATION AND EVALUATION

2020 ◽  
Vol 01 (01) ◽  
pp. 38-44
Author(s):  
Halyna Kuzmenko ◽  
◽  
Nataliia Shalimova ◽  
Alla Lysenko ◽  
◽  
...  
Keyword(s):  
Information Systems ◽  
Basic Principles ◽  
Supporting System ◽  
Current Information ◽  
The Impact ◽  
A Company ◽  
Capacity Efficiency ◽  
Tax Capacity

The principles of forming the system of information about tax capacity are grouped and the directions of activity of the enterprise are identified, in view of which it is expedient to establish criteria for assessing its efficiency. The formation of information about tax capacity of an enterprise should occur not chaotically, but according to certain principles. The lists of basic principles (unity, objectivity, competence, probability and periodicity) and additional principles (dynamism, rationality, conformity, control) have been substantiated. The system of indicators and criteria of the formalized expression of efficiency is offered. The list of indicators made it possible to build the system (vector) of criteria requirements to ensure the effectiveness of information about the tax capacity of a business entity. It has been proved that in assessing the effectiveness of the information supporting system on tax capacity of the entity, the impact of time and cost criteria, as well as other non-measurable parameters should be taken into account. The proposed approach to assessing the effectiveness of the current information supporting system on the taxpayer's capacity will allow assessing alternative information systems in terms of the effectiveness of their implementation. Keywords: information supporting system; taxation; tax capacity; efficiency; principles; criteria; assessment; evaluation

scholarly journals Proposed Physician Payment Schedule for 2013: Guarded Prognosis for Interventional Pain Management

2012 ◽  
Vol 5;15 (5;9) ◽  
pp. E615-E627
Author(s):  
Laxmaiah Manchikanti
Keyword(s):  
Growth Rate ◽  
Pain Management ◽  
Regulatory Reform ◽  
Sustainable Growth ◽  
Physician Payment ◽  
Certified Registered Nurse Anesthetists ◽  
Sustainable Growth Rate ◽  
Interventional Pain Management ◽  
Fee Schedule ◽  
The Impact

As happens every year, on July 1, 2012, the Centers for Medicare and Medicaid Services issued a proposed policy and payment rate for services furnished under the Medicare physician fee schedule for 2013. The proposed rule would provide certified registered nurse anesthetists to practice independent interventional pain management. Other issues, though no less important, include a 27% sustainable growth rate formula cut in reimbursement, along with a 2% sequester, which could lead to a potential cut of 29%. Since the inception of Medicare programs in 1965, several methods have been used to determine the amounts paid to physicians for each covered service. The sustainable growth rate was enacted in 1997 to determine physician payment updates under Medicare Part B. Its intent was to reduce Medicare physician payment updates to offset the growth and utilization of physician services that exceed gross domestic product growth. This is achieved by setting an overall target amount of spending for physicians’ services and adjusting payment rates annually to reflect differences between actual spending and the spending target. Since 2002, the sustainable growth rate has annually been used to recommend reductions in Medicare reimbursements. Payments were cut in 2002 by 4.8%. Since then, Congress has intervened on multiple occasions to prevent additional cuts from being imposed. In this manuscript, we will describe important proposed changes to the physician fee schedule. Additionally, the impact of multiple changes on interventional pain management will be briefly described. Key words: Health policy, physician payment policy, physician fee schedule, Medicare, sustained growth rate formula, interventional pain management, regulatory reform.

Human Capital of the Enterprise in the Context of System Economy

2020 ◽  
pp. 24-38
Author(s):  
Dmitry A. Zhdanov
Keyword(s):  
Human Capital ◽  
Sustainable Growth ◽  
Key Factors ◽  
The Status ◽  
Environmental Process ◽  
Ongoing Development ◽  
The Stability ◽  
The Impact ◽  
A Company

One of the key factors that determine the success of the company and ensure its ongoing development, adaptation to the requirements of the digital economy, is the human capital (HC) of the enterprise. In this regard, the purpose of the study is designated as identifying ways to support the integral and sustainable growth of a company based on the development of its human capital. Since an enterprise is an open socio-economic system, the methodological basis of the work is the systems economic theory, which made it possible to present the company's activities as the interaction of object, environmental, process and project systems. Based on this concept and taking into account the objectives traditionally pursued by the company, four basic functional complexes have been identified that ensure the stability and reproductive capabilities of the enterprise, the challenges that need to be overcome within such capabilities were identified, the requirements for the knowledge, skills and abilities of personnel were established. Comparison of the human resources of the enterprise and the features of the corporate tasks solved with their help made it possible to group the elements of the company's HC in a new way – depending on the impact on the noted basic subsystems that determine the integrity of the company. This systematization demonstrated the interconnection of individual elements of the enterprise's HC and the performance of the corresponding complexes. Thus, the probable personnel reasons for the lag in certain areas of the company's activity and the possibilities of their reorganization by targeted impact on the required elements of the HC were identified. Since the implementation of the proposed approach requires the determination of the status of the corporate HC, and the reliability of such a procedure traditionally raises criticism due to the objective difficulties of measurement, the article proposes a methodology to streamline the process of assessing the state of the parameters under study. The methodology is based on the ranking of HC indicators depending on the accuracy of displaying the parameters of the object. The proposed approach made it possible to determine the tools for monitoring the selected categories of human capital, ways to step them up and remedy the situation.

scholarly journals BUSINESS GROWTH MANAGEMENT IN REPUBLIC OF SRPSKA

2021 ◽  
Vol 19 (34) ◽  
Author(s):  
Saša Vučenović ◽  
Branka Zolak Poljašević ◽  
Igor Mišić
Keyword(s):  
Growth Process ◽  
Growth Management ◽  
Arithmetic Mean ◽  
Sustainable Growth ◽  
Asymmetric Distribution ◽  
Small Enterprises ◽  
Business Growth ◽  
Business Policy ◽  
Sustainable Growth Rate ◽  
A Company

The research methodology starts from the calcu- lation of the coefficient for each individual com- pany in order to obtain the indicators by calculat- ing the arithmetic mean, median and quartile. As econometric stochastic models have little value for predicting or explaining the growth process at the level of individual companies, the central subject of interest is understanding the growth process at the level of an individual company. The sustainable growth rate of a company depends on the activity of the company. Numerous factors can affect the growth of a company, but the influence of individu- al factors on the growth of a company is rarely sig- nificant and permanent. The results of the research indicate a very asymmetric distribution of the size of enterprises, with a small number of large enter- prises and a large number of small enterprises. The model of sustainable growth is an effective tool for financial planning and directing business policy to- wards stimulating growth in certain industries.

scholarly journals Environmental, Social, Governance Risk and Corporate Sustainable Growth Nexus: Quantile Regression Approach

2021 ◽  
Vol 18 (20) ◽  
pp. 10865
Author(s):  
Xiaodong Teng ◽  
Yanzhi Wang ◽  
Aiguo Wang ◽  
Bao-Guang Chang ◽  
Kun-Shan Wu
Keyword(s):  
Quantile Regression ◽  
Negative Relationship ◽  
Ordinary Least Squares ◽  
Sustainable Growth ◽  
Detailed Knowledge ◽  
Course Of Action ◽  
Regression Approach ◽  
Negative Effect ◽  
Sustainable Growth Rate ◽  
The Impact

Despite a huge body of literature revealing that the effect of environmental, social and governance (ESG) scores on a firms' financial performance and value, it lacks the empirical research on the nexus between corporate sustainable growth and ESG risk in the existing research. The paper aims to examine the nexus between ESG risk and corporate sustainable growth. This study utilizes a quantile regression approach to explore how ESG risk affects corporate sustainable growth (proxied by sustainable growth rate, SGR). The ordinary least squares estimation results confirm that ESG significantly negatively affects corporate sustainable growth. The quantile regression results reveal ESG risk has a significant negative effect on corporate sustainable growth in the upper quantiles of SGR, but not in the lower and median quantiles. The results show that the impact of ESG risk on the corporate sustainable growth is asymmetric and affected by the distribution of SGR. Furthermore, the research results identify that the negative relationship between ESG risk and corporate sustainable growth is particularly apparent for firms in environmentally sensitive industries. This study greatly contributes to existing literature, as with this detailed knowledge, managers can make decisions based on these associations and identify the most lucrative course of action.

scholarly journals ANALYSIS OF THE DEVELOPMENT OF OIL AND GAS COMPANIES IN RUSSIA BASED ON SUSTAINABLE GROWTH RATE MODEL (SGR)

2019 ◽  
Vol 2 (5) ◽  
pp. 222-231
Author(s):  
Maksim Skobeev ◽  
Ekaterina Zemnukhova
Keyword(s):  
Oil And Gas ◽  
Sustainable Growth ◽  
Rate Model ◽  
Strategic Decisions ◽  
Sustainable Growth Rate ◽  
The Russian Federation ◽  
Real Growth ◽  
Set Up ◽  
Oil And Gas Companies ◽  
A Company

The article analyzes the theoretical and methodological basis for assessing the economic growth of a company, identifies the entities and principles that influence it. Based on the study of modern strategic concepts of growth, a computational model was set up - the sustainable growth model SGR. The calculated values are compared with the real growth of the companies of the oil and gas complex of the Russian Federation in a retrospective analysis for 2012–2017. Conclusions about the applicability of the concept when making strategic decisions in the current market conditions. The significance of this model was checked and a vector was set for further study.

scholarly journals EVALUATION, RECOGNITION AND ANALYSIS OF CURRENT ASSETS OF THE COMPANY IN ACCORDANCE WITH IFRS AND RAS (FSBU)

2021 ◽  
pp. 11-14
Author(s):  
V. Karashenko ◽  
A. Goncharova
Keyword(s):  
Valuation Methods ◽  
The Impact ◽  
A Company

This article examines the process of assessing, recognizing and analyzing the current assets of a company in the context of IFRS and RAS (FSBU). There is a significant consideration of the valuation of assets in the IFRS system. The authors compare the recognition, assessment and analysis of current assets according to international and Russian standards. Finally, the impact of undervaluation and overvaluation of assets and valuation methods is examined.

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