Estimating the value of an enterprise based on the EVA model

Authors

  • O.V. Lisova National Technical University «Kharkiv Polytechnic Institute»
  • D.V. Korobkov

Keywords:

cost of the enterprise, methods of valuation, cost approach, income approach, market approach, economic value added (EVA)

Abstract

When choosing a valuation method, it is very important to choose an acceptable model, since choosing an inappropriate model may lead to a revaluation or underestimation of the business, which is due, in particular, to the peculiarities of the company itself, to the negative changes in the market situation, and to the incorrect formulation of the purpose of the assessment. The article considers the essence and necessity of estimating the value of an enterprise. The main methodological approaches to estimating the value of the enterprise are presented. The advantages and disadvantages of each method are determined. The use of the model of economic added value of the enterprise as the most comprehensive and concretising is proposed.

Published

2018-02-01

How to Cite

Лісова, О., & Коробков, Д. (2018). Estimating the value of an enterprise based on the EVA model. E-Conomics, (1(1). Retrieved from http://e-conomics.hpi.kh.ua/index.php/journal/article/view/27

Issue

Section

1(1) 2017