Economic Value Added (EVA): Measuring True Performance

Economic Value Added (EVA): Measuring True Performance

Introduction Economic Value Added (EVA): Measuring True Performance. In today’s competitive business landscape, assessing a company’s true financial performance goes beyond traditional metrics like net income or earnings per share. One such advanced metric is Economic Value Added (EVA), which provides a clearer picture of value creation by considering the cost of capital. Understanding Economic…

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How Corporate Finance Shapes Mergers and Acquisitions Deals

How Corporate Finance Shapes Mergers and Acquisitions Deals

Introduction How Corporate Finance Shapes Mergers and Acquisitions Deals. Mergers and acquisitions (M&A) are among the most complex and transformative events in the corporate world. These strategic transactions reshape companies, industries, and markets, often with profound financial implications. The role of corporate finance in M&A deals is crucial—it helps in assessing the value, structuring the…

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Cash Is Not Always King: Rethinking Liquidity in Corporate Finance

Cash Is Not Always King: Rethinking Liquidity in Corporate Finance

Introduction Cash Is Not Always King: Rethinking Liquidity in Corporate Finance. The age-old adage “cash is king” has long dominated boardroom discussions and financial decision-making. It implies that having large cash reserves is always beneficial. While this notion holds merit in providing short-term flexibility and cushioning against economic downturns, it is not universally accurate in…

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