A topical problem and a sought-after task is the assessment of value of the enterprise’s business and a value-oriented management of this business, which is of particular importance for diagnosing ...the financial condition of unprofitable enterprises, in particular debtor enterprises, at the stage of their financial sanitation and restoration of solvency. The relevance of application for unprofitable corporate enterprises of a common methodology for assessing the value of business with the help of a system of market multipliers is analyzed, which is then classified into groups, including the following: 1) earnings multipliers: «share price/earnings per share» (P/E), «price/sales – P/S», «value of business/sales» (EV/S), «value of business/profit from operating activities» (EV/Sales margin, valuates the enterprise according to the profitability of its core operations), and EV/EBITDA (estimation of the company’s total profit by all types of activities); 2) balance financial indicators: «value of business/balance value of assets» (EV/BV), «shares price/balance value of share capital» or «share price/balance value of net assets» (P/BV or P/BVE), «value of business/cost of buildings, machines and equipment on the balance sheet», or «value of business/value of non-current assets» (enterprise value/property, plant and equipment – EV/PP&E); «share price/net asset substitution value» (multiplier Q, or Tobin’s Q), «share price/net asset value», or P/NAV); 3) natural multipliers: price/volume of production, price/winning, etc. It is determined that each group of financial multipliers has advantages and disadvantages of its relevance to informativeness, and this must be taken into account when choosing multipliers for value assessment. The correctness of the choice of multipliers depends on the task of assessing the value of the share capital or the value of the business of enterprise in general. It is argued that the assessment of any enterprise or group of enterprises is a separate specific case that requires taking into account the key features of the enterprise activities. Taking into account such features, the correct choice of the multiplier and its modification is the key to obtaining a relevant assessment of the value of the enterprise. It is recommended to use a system from several multipliers for a relevant valuation of the enterprise, as well as apply several approaches to such a valuation. In case of valuation of the enterprise that is in the process of bankruptcy or systematically receives losses, the use of EV/S and EV/BV multipliers appears the most correct. To test the carried out theoretical-methodological analysis of the application of the market multipliers to valuate unprofitable enterprises, their application to valuate five unprofitable Ukrainian mines is presented, which serves as a verification of the recommendations developed in the work.
Bitcoin is the most widely known blockchain, a distributed ledger that records an increasing number of transactions based on the bitcoin cryptocurrency. New bitcoins are created at a predictable and ...decreasing rate, which means that the demand must follow this level of inflation to keep the price stable. Actually, the price is highly volatile, because it is affected by many factors including the supply of bitcoin, its market demand, the cost of the mining process, as well as economic and political world-class news.
In this work, we illustrate a novel approach for bitcoin trend prediction, based on the One-Dimensional Convolutional Neural Network (1D CNN). First, we propose a methodology for building useful datasets that take into account social media data, the full blockchain transaction history, and a number of financial indicators. Moreover, we present a cloud-based system characterized by a highly efficient distributed architecture, which allowed us to collect a huge amount of data in order to build thousands of different datasets, using the aforementioned methodology. To the best of our knowledge, this is the first work that uses 1D CNN for bitcoin trend prediction. Remarkably, an efficient and low-cost implementation is feasible due to the simple and compact configuration of 1D CNN models that perform one-dimensional convolutions (i.e., scalar multiplications and additions). We show that the 1D CNN model we implemented, trained, validated and tested using the aforementioned datasets, allow one to predict the bitcoin trend with higher accuracy compared to LSTM models. Last but not least, we introduce and simulate a trading strategy based on the proposed 1D CNN model, which increases the profit when the bitcoin trend is bullish and reduces the loss when the trend is bearish.
•A novel approach for bitcoin trend prediction with Convolutional Neural Networks•A methodology for building a multi-source dataset that includes many features•A cloud-based distributed system for collecting a huge amount of Bitcoin related data•Experimental evaluation for comparing CNN-based with LSTM-based prediction models
Financial indicators are tools that provide concrete clues regarding the health of a business. They involve two dimensions: a quantitative one, determined by the calculation of the indicators, and a ...qualitative one, which relates to their interpretation. Approached statically, at the level of a financial year, they define the current situation at that moment. Dynamically approached, over a time horizon consisting of several financial years, they highlight the general trend for that time span. This material aims to analyse the main financial indicators at the level of a company that is internationally renowned, as well as resilient and financially stable. BMW offers top products within the automotive industry. The approach to the indicators for this company will be both static and dynamic, over a time horizon of four financial years (2019-2022). Their determination will be pursued, with the aim of a quantitative assessment, as well as their interpretation, for the purpose of a qualitative assessment.
The fundamental objective of accounting is to provide the fairest representation possible of the financial reality of an entity and it is therefore a basic condition, but not sufficient, for economic ...decisions. It is necessary for the financial reality to be capitalized upon through the financial analysis. The companies constantly enjoy a wealth that, by virtue of the dynamism provided by their economic activity, increases or decreases with the results obtained. Thus, two directions of capitalization are delineated – one primarily, focusing on wealth, namely the financial position, and one secondary, focusing on results, namely the performance, which are interdependent with the former. In the current economic context, three major types of economic activities are identified, namely the production, the trade, and the services. They present convergences and divergences in terms of their uses and forms, of their financing needs and sources, as well as of their result generation. This material comparatively analyzes the main financial indicators in the context of three representative entities from the Romanian business environment, one predominantly engaged in production, one predominantly engaged in trade, and one predominantly engaged in services.
This is the first article that studies BitCoin price formation by considering both the traditional determinants of currency price, e.g., market forces of supply and demand, and digital currencies ...specific factors, e.g., BitCoin attractiveness for investors and users. The conceptual framework is based on the Barro (1979) model, from which we derive testable hypotheses. Using daily data for five years (2009-2015) and applying time-series analytical mechanisms, we find that market forces and BitCoin attractiveness for investors and users have a significant impact on BitCoin price but with variation over time. Our estimates do not support previous findings that macro-financial developments are driving BitCoin price in the long run.
In this paper, several financial indicators at S.C.D.A. Simnic are investigated from a statistical point of view. Using the method of least squares, the mathematical functions that model the trend ...are found and with the help of which financial forecasts are made, also using the growth rates with a chain basis and a fixed basis for the time series corresponding to the period 2008-2022. Finally, an analysis is made of the correlations between these indicators, such as income, expenses, profit, assets, liabilities, stocks, receivables, capital and the results found are interpreted. Thus, the forecasts on the financial indicators and the correlations between them can be of great help in the management of a company, being able to contribute to the efficiency of the activity through adequate budget planning, performance evaluation, investment decision-making or human resources planning. They can help managers identify opportunities and risks, optimize the use of resources, and achieve better financial results for the firm.
This paper builds on the liabilities of newness literature to suggest that accounting information is important for new firms. Using a sample of over 30,000 companies followed during their first ...7 years of existence, we find evidence that financial indicators mitigate the liability of newness and that this buffering effect is stronger the younger the organization. These results represent three primary contributions to the literature. First, our conceptualization of accounting measures as indicators of external (creditworthiness enhancing legitimacy) as well as internal (targets for management) buffers to the liabilities of newness provides a novel way of viewing these constructs and explains why they are important to new firms despite their uncertainty and opacity. Second, we theoretically justify and empirically validate that these constructs are more important the younger the new firm is, which runs counter to the common wisdom of these constructs in the entrepreneurship literature. Third, we identify buffers against failure for new firms that are generalizable across industries.
Purpose: Analyse the financial and non-financial information (Corporate Social Responsibility) of passenger transport companies in the Barcelona metropolitan area due to the economic, environmental ...and social impact of this sector. Design/methodology/approachy: The study uses the analysis of financial statements and an exploratory methodology of the non-financial indicators of passenger transport companies in the Barcelona metropolitan area (Busmet), as well as a validated CSR questionnaire. Financial and non-financial indicators of these companies are used to assess the integrated information, especially Corporate Social Responsibility. Findings: The results show that transport companies have significant challenges in Corporate Social Responsibility since companies in the transport sector contribute significantly to the CO2 emissions that negatively affect the environment. Limitations: The study is focused on a small group of companies and we would like to extend it to goods and passenger transport companies with a wider and more representative sample of the population, due to the economic and social significance of the sector. Originality/value: There are few studies that refer to Corporate Social Responsibility in passenger transport companies, and it is a means of transport that has a significant economic and environmental impact on any city or metropolitan area, subject to diverse changes owing to innovation and current technological advances. The study helps to highlight the importance of the CSR of transport companies.
The purpose of this study was to examine the variables causing financial distress, namely the corporate governance structure and financial indicators. Corporate governance (corporate governance ...structure) is measured by managerial ownership and institutional ownership. While financial indicators are measured by liquidity, profitability and leverage. All manufacturing businesses that are listed and have published their financial statements between 2019 until 2021 are the population of this study. Based on the purposive sampling used, the sample of this study amounted to obtain 48 data. Multiple linear regression is a data analysis method used to test the data. The findings of this study indicate that the condition of financial distress or financial difficulty is influenced by financial indicators represented by profitability and leverage. The state of financial distress is not influenced by corporate governance as measured by management ownership, institutional ownership, and financial indicators as measured by liquidity.
Introduction: To strengthen production chains in the state of Chihuahua, it is necessary to evaluate the feasibility of establishing sawmills in forest communities and ejidos. Objective: To formulate ...a sawmill investment project for the Basihuare ejido, Guachochi, Chihuahua, and to evaluate its viability by estimating financial and economic indicators. Materials and methods: Projections of supply from 2020 to 2024 were made based on the records of roundwood inputs of the Pinus genus from 2015 to 2019. Sawmilling coefficients, sawn timber grade distribution and market price were determined with historical information from a private industry located in Guachochi. Feasibility was evaluated by estimating the income tax established according to income. Results and discussion: A net present value of 16 194 605 MXN at a discount rate of 12 %, an internal rate of return of 78.69 % and a benefit/cost relationship of 1.25 were estimated. A break-even point of 1 520 255 bf produced, a payback period of 2.07 years and an economic profitability of 61.14 % were also determined. Conclusion: The indicators were positive in all cases, which shows that the project is financially viable. The methodology used for the formulation and evaluation of investment projects in the forestry sector can be replicated and adapted by different agrarian nuclei
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