1
Q
What is a key element of SVA valuation
A
The seven value drivers
2
Q
What are the seven value drivers?
A
Value drivers? Safari drivers get value by finding the animals:
‘Lions Growl, Monkeys Titter, Nightingales Warble, Cats purr’
Life of projected cash flows
Sales growth rate
Operating profit margin
Tax rate
Investment in non-current assets
Investment in working capital
Cost of capital
3
Q
Parts of enterprise value
A
Many dolphins play merrily, catching clams
Market cap
Debt
Preference shares
Minority interest
Cash & Cash equivalents
FM
flashcards
Decks in class (11)
# Cards
-
Objectives1
-
Investment appraisal51
-
Risk and decision making57
-
Equity sources and dividend policy15
-
Sources of finance14
-
Cost of capital21
-
Capital structure and assessing financing options30
-
Business valuation52
-
Managing interest rate and other financial risks50
-
Managing financial risk: Overseas trade43
-
REVISH3
