Serving businesses and individuals in the Rogue Valley
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When it comes to raw materials, especially for fossil fuels, it's essential to evaluate existing and potential production capabilities for such companies. Using the EV/2P Ratio is a powerful tool when evaluating fossil fuel-related companies.Defining the RatioThis ratio is calculated...
Continue ReadingWhile Cash EBITDA isn’t recognized by generally accepted accounting principles (GAAP), it’s a way for company owners and investors to account for deferred revenue during valuation modeling. This financial metric measures a business’ year-over-year change in postponed revenue to analyze...
Continue ReadingWith 57 percent of public companies offering their workers employee stock purchase plans (ESPPs), according to the National Association of Stock Plan Professionals (NASPP), understanding how qualifying dispositions work is an essential skill.The concept refers to someone selling or otherwise...
Continue ReadingWhether you are an investor, an owner, or an internal financial analyst, understanding how the equity multiplier works and how to interpret it is a helpful skill.Defining the Equity MultiplierThe equity multiplier is a metric that tells the user what...
Continue ReadingAn activity cost driver is anything that causes a company's variable costs to either reduce or grow. Since measuring an activity cost driver is a way to streamline the administration of managing production costs, it’s an integral part of activity-based...
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