• Title of article

    Present and future value formulae for uneven cash flow based on the performance of a business

  • Author/Authors

    Ameha Tefera Tessema، نويسنده ,

  • Issue Information
    روزنامه با شماره پیاپی سال 2011
  • Pages
    10
  • From page
    9649
  • To page
    9658
  • Abstract
    Business firmʹs income is not constant or fixed from period to period. Because of this, a firmʹs cash inflow or out flow is uneven. The decision of a firm either to invest or to borrow from creditors based on uneven cash in-flow need to have a future or a present value prediction formula. The problem to find future and present value formulae for uneven cash flow stayed unsolved for long period of time (Pandey, 1999). However, in this paper, I want to show future and present value of uneven cash flow prediction formulae based on the performance rate (Pn) of a business. The firm cash out flow either for investment or for repayment of the borrowed loan growth according to the performance rate (p) of the firm. The Performance rate (Pn) is a percentage by which the current performance of the business exceeds the previous. Therefore, the firm cash out flows either for investment or for repayment of the borrowed loan growth according to the performance rate (p) of the firm.
  • Keywords
    future value formula , performance rate , present value formula , nonperforming loan , Uneven cash flow
  • Journal title
    African Journal of Business Management
  • Serial Year
    2011
  • Journal title
    African Journal of Business Management
  • Record number

    687209