Corporate value and Cover ratio: Difference between pages

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#The same as [[Entity]] value.
An investor's measure of the safety of their future income flow from an investment.
#The value of a profit-seeking business.
 


The cover ratio is calculated as:
#The investment's internal cash flow - or its accounting equivalent flow - available to pay the investor's income DIVIDED BY:
#The income flow expected by, or contractually payable to, the investor.


== See also ==
== See also ==
* [[Corporate valuation]]
* [[Debt service ratio]]
* [[Entity]]
* [[Dividend cover]]
* [[Shareholder value]]
* [[Interest cover]]
 
* [[Uncovered]]
[[Category:Corporate_finance]]

Revision as of 12:04, 5 August 2013

An investor's measure of the safety of their future income flow from an investment.

The cover ratio is calculated as:

  1. The investment's internal cash flow - or its accounting equivalent flow - available to pay the investor's income DIVIDED BY:
  2. The income flow expected by, or contractually payable to, the investor.

See also