Court Deems Treatment of S Corp Undistributed Income ‘Problematic’
Court rejects expert’s “excess working capital” analysis to determine income for child support purposes saying it conflicts with state statute’s requirement to rely on historical practices when assessing legitimacy of undistributed earnings of an S corp.
Diez v. Davey
Court rejects expert’s “excess working capital” analysis to determine income for child support purposes saying it conflicts with state statute’s requirement to rely on historical practices when assessing legitimacy of undistributed earnings of an S corp.
Computing terminal value
In reviewing the Cost of Capital book, page 16, we noted Dr. Pratt's comments about the error in treating EBITDA as free cash flow. We also noted that Dr. Pratt utilizes net cash flow in his discussion of the Gordon Growth Model and the Two-Stage Model shown on pages 25 to 29.
Adjusting price for receivables
I am an investment banker who is currently conducting an acquisition search on behalf of a local company. Many of these target companies insist on keeping accounts receivable (and payables ...