top of page

Enterprise value

Writer: Thomas TsangThomas Tsang

Updated: Mar 9

In business valuation, enterprise value is the value of the business. It includes any intangible assets not booked such as goodwill, customers relationships, brand name, etc.


Equity value is the value of the company’s equity shares


Enterprise value - total debts + cash and cash equivalent

= Equity value


In a CGU, net current assets such as accounts receivables, inventory, cash at bank and cash equivalent and accounts payables, accrual are included in carrying amounts of a CGU, which is the enterprise value.


 
 
 

Recent Posts

See All

Walk through in audit

To perform walk through in audit with the objective to ascertain the audit assertions. We need to understand the control or process in...

Comments


bottom of page