Enterprise value

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Revision as of 12:13, 26 June 2015 by imported>Doug Williamson
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(EV).

The total value of a commercial business, whether funded by equity alone or by a combination of equity and debt.

Also known as the 'entity value'.


Where the business is funded by both debt and equity the EV is given by: EV = market value of equity + market value of debt


See also