
How to calculate trade creditor days
The trade creditor days measure essentially allows you to calculate how long it is taking a business to pay its suppliers. Comparing the average trade …
The trade creditor days measure essentially allows you to calculate how long it is taking a business to pay its suppliers. Comparing the average trade …
A prepayment is commonly defined as an expense which has been paid in advance of its due date. As cash has been paid up front, …
Revenue is simply the amount that a company makes from selling its products and/or services to its customers. Within the profit and loss, revenue is …
The Enterprise Value to Equity Value bridge is the most important concept in transaction purchase price calculations. The key point to understand is that transactions …
Adjusted EBITDA is calculated by taking Reported EBITDA and adjusting for any one-off or exceptional items. It is commonly used in acquisitions with enterprise value …
Mergers and acquisitions (‘M&A’) is a term used to describe the purchase or consolidation of companies or trade and assets. Types of acquisitions Acquisitions either …
Accrued revenue arises because of the accruals basis of accounting, which states that revenue should be recorded in the profit and loss across the period …
Deferred revenue arises because of the accruals basis of accounting, which states that revenue should be recorded in the profit and loss across the period …
Financial due diligence (‘FDD’) is a review of a Target company’s financial information prior to a proposed transaction. FDD is often used to support deal …
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