Unlike traditional accounting measures such as net income or earnings per share (EPS), EVA deducts the full cost of capital—including both debt and equity—from net operating profit after taxes (NOPAT).
Posts tagged as “Accruals”
The saying "Cash is King" is a fundamental principle in finance and business, emphasizing the paramount importance of liquidity and a healthy cash flow.
Let’s take a look at very basic foundations of the accounting practice. It is important for accountants to follow the same accounting principles.