6+

Review of assessment methods discount rate in investment analysis

Send me via email

Authors


graduate student
Russia, Bashkir State University
[email protected]

Abstract

The article examines the current methods of calculating discount rate in investment analysis and business valuation, as well as analyzes the key problems using various techniques in terms of the Russian economy.

Keywords

discount rate, the weighted average cost of capital, long-term asset pricing model, beta coefficient, business valuation, cash flow, cost of "tax wins."

Print Friendly, PDF & Email

Categories of article:

Read also

Suggested citation

Yamaletdinova Guzel Hamidullovna
Review of assessment methods discount rate in investment analysis// Modern Management Technology. ISSN 2226-9339. – #8 (8). Art. # 0803. Date issued: . Available at: https://sovman.ru/en/article/0803/

Full article text is available only in Russian.
Please select from the menu Russian language and continue reading.


References

  1. Cummins John David, Phillips Richard D. Estimating the Cost of Equity Capital for Property-Liability Insurers (June 2003). Available at SSRN: http://ssrn.com/abstract=420920 or doi: 10.2139/ssrn.420920.
  2. Fernandez P. Valuing Companies by Cash Flow Discounting: 10 Methods and 9 Theories, 2009.
  3. Edward J. Green, Jose A. Lopez, and Zhenyu Wang. Formulating the Imputed Cost of Equity Capital for Priced Services at Federal Reserve Banks.  Federal Reserve Bank of New York Economic Policy Review. September 2003, p.55- 81.
  4. Gode, D. and P. Mohanram. 2003 . Inferring the cost of capital using the Ohlson-Juettner model. Review of Accounting Studies 8 (4 ), p. 399-431.
  5. Kolouchová, P., Novák, J. «Cost of Equity Estimation Techniques Used by Valuation Experts» IES Working Paper 8/2010 . IES FSV. Charles University. This paper can be downloaded at: http://ies.fsv.cuni.cz.
  6. Shannon P. Pratt, Alina V. Niculita – Valuing a Business: The Analysis and Appraisal of Closely Held Companies (5th Edition) 2007.
  7. Tax Code [Nalogovyi kodeks RF] : the second part of August 5 . 2000 № 117-FZ : rev. on July 30, 2010 Access from ref. legal system “Consultant “.
  8. Damodaran A. Investment Valuation. Tools and equipment for evaluation of any assets [Investitcionnaia otcenka. Instrumenty i tekhnika otcenka liubykh aktivov]. Per. from English. MA, Harvard Business, 2004.
  9. Kozyr Iu.V. Aspects of evaluation and adjustment in the discount rate [Aspekty otcenivaniia i korrektirovki stavki diskontirovaniia]/ / Appraiser.Ru. Herald appraiser [electronic resource]. URL: http://www.appraiser.ru/default.aspx?SectionId=188&Id=1286 ( date accessed 02/03/2011 ) .
  10. Kouplend T., Koler T., Murin Dzh. Cost companies: Assessment and Management [Stoimost kompanii: otcenka i upravlenie]. 3rd ed., Rev. and ext. Per. from English. Moscow: ZAO “Olympus – Business “, 2008.
  11. Nikonova I.A. Evaluation of investment projects in the evaluation system of business [Otcenka investitcionnykh proektov v sisteme otcenki biznesa]. evaluation questions, 2007, № 1.
  12. Yamaletdinova G.Kh. Effect of ” tax shield ” on the cost of capital and business [Vliianie effekta «nalogovogo shchita» na stoimost kapitala i biznesa]. Audit and financial analysis. Moscow, 2010, № 6. pp. 167-171.