Impact of company capital structure on of its value growth estimation

The article analyses the influence of the use of commercial loans on the free cash flow generation based on cost-based management concept. It is shown that the use of commercial credit instead of the usual short-term lending reduces the force of the operational lever. On the other hand, when calcula...

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Main Authors: Pirogova Oksana, Plotnikov Vladimir
Format: Article
Language:English
Published: EDP Sciences 2017-01-01
Series:SHS Web of Conferences
Online Access:https://doi.org/10.1051/shsconf/20173501053
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spelling doaj-49066717a2004879bca5c7a81a849ea72021-03-02T07:34:36ZengEDP SciencesSHS Web of Conferences2261-24242017-01-01350105310.1051/shsconf/20173501053shsconf_icie2017_01053Impact of company capital structure on of its value growth estimationPirogova Oksana0Plotnikov Vladimir1Saint Petersburg State Polytechnic University, Industrial Management Institute, Economy and Trade, Graduate School of Commodity and ServiceSaint Petersburg State University of Economics, Department of General Economic TheoryThe article analyses the influence of the use of commercial loans on the free cash flow generation based on cost-based management concept. It is shown that the use of commercial credit instead of the usual short-term lending reduces the force of the operational lever. On the other hand, when calculating the economic added value indicators, the use of conventional lending leads to the increase in the economic added value and as a result of the higher cost of growth. This effect is associated with the redistribution of cash outflows and changes in the level of risk for the stakeholders of the enterprise.https://doi.org/10.1051/shsconf/20173501053
collection DOAJ
language English
format Article
sources DOAJ
author Pirogova Oksana
Plotnikov Vladimir
spellingShingle Pirogova Oksana
Plotnikov Vladimir
Impact of company capital structure on of its value growth estimation
SHS Web of Conferences
author_facet Pirogova Oksana
Plotnikov Vladimir
author_sort Pirogova Oksana
title Impact of company capital structure on of its value growth estimation
title_short Impact of company capital structure on of its value growth estimation
title_full Impact of company capital structure on of its value growth estimation
title_fullStr Impact of company capital structure on of its value growth estimation
title_full_unstemmed Impact of company capital structure on of its value growth estimation
title_sort impact of company capital structure on of its value growth estimation
publisher EDP Sciences
series SHS Web of Conferences
issn 2261-2424
publishDate 2017-01-01
description The article analyses the influence of the use of commercial loans on the free cash flow generation based on cost-based management concept. It is shown that the use of commercial credit instead of the usual short-term lending reduces the force of the operational lever. On the other hand, when calculating the economic added value indicators, the use of conventional lending leads to the increase in the economic added value and as a result of the higher cost of growth. This effect is associated with the redistribution of cash outflows and changes in the level of risk for the stakeholders of the enterprise.
url https://doi.org/10.1051/shsconf/20173501053
work_keys_str_mv AT pirogovaoksana impactofcompanycapitalstructureonofitsvaluegrowthestimation
AT plotnikovvladimir impactofcompanycapitalstructureonofitsvaluegrowthestimation
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