Amount Of Cash Flow Research Articles

Optimization Study of the Improvement on DDM Model Based on Poly Union Group Corporation

With the global economic develops, stock market has aroused the attention of investors, which enables them to invest capital in it. However, the DDM that investors use has various disadvantages, which have been misleading them to get wrong conclusions. Thus, this paper will have further analysis and research on the weakness of the DDM and propose elaborate improvement. The paper uses the GGM model to value the stock price based on the actual dividend paid by the company and for the simplicity of calculation. The research shows that the DDM ignores the growth of the company and the risk factor. Furthermore, the DDM isn’t suitable for stocks whose growth of dividend is higher than the discount rate. The PEG model can give accurate valuations for stocks that have zero dividend yields or very trivial ones. In general, the PEG model can improve the DDM model. But still, the PEG model doesn’t take the cash amount on the balance sheet into account. Company with a certain amount of cashflow might be more valuable for investors. In the future, something should be added to modify the PEG model.

Strategic management of enterprise value in the conditions of innovative development

Methods. When conducting a study of strategic enterprise cost management under innovative development, the method of scientific abstraction was used – in determining theoretical and methodological approaches regarding the essence of the concept of «enterprise cost management»; system approach – in the formation of a methodical approach to comprehensive assessment of the effectiveness of enterprise cost management. Results. It has been demonstrated that the new management paradigm, which is based on a strategic approach, has led to a change in the goals and criteria of the company's activity, namely: the criteria for the success of the its activity and the basis for determining its mission are the cost, which allows for a quantitative assessment of both strategic goals and the level of their implementation. It was found that despite the presence of a wide arsenal of methods for estimating the value of an enterprise, none of them take into account its specificity, as well as the factors that shape the value. Work was carried out on the formation of an applied methodical approach to strategic management of enterprise value. Novelty. A methodical approach to strategic management of enterprise value is proposed, which is based on a comprehensive approach to estimating its value and is characterized by ease of application. The developed approach is universal for any enterprise and ensures consistency in the implementation of principles and methods. It takes into account all stages of strategic management of the enterprise's value, as well as other criteria, in particular, the volume of production, profit. Practical value. The obtained results of the scientific research proved the need to develop a comprehensive assessment of the value of the enterprise under innovative strategic management in order to diagnose the state, trends and determine the factors that contribute to the growth of its value and potential. Since the main component of the increase in the value of equity capital is the steady rate of growth of profitability and the amount of cash flow, the main attention is focused on indicators of profitability. Accordingly, the cost is a key point of the strategic management system of the enterprise and is used both for the formation of its specific goals and objectives, and serves as a criterion for evaluating the success of strategy implementation.

Accounting comparability and cash flows versus accruals

Purpose This study aims to examine whether accounting comparability between two firms, as measured by De Franco et al. (2011), reflects closeness in the amounts of cash flows and accruals between the firms. Design/methodology/approach Using 278,452 pair-year observations over the years 2003–2019, the author evaluates the research question using regression models. Findings Closeness in cash flows and closeness in accruals both increase accounting comparability and the effect of closeness in cash flows is greater. The effect of closeness in earnings is greater than the combined effects of closeness in cash flows and accruals. Earnings quality strengthens, while product closeness weakens, the effects of closeness in earnings and closeness in cash flows. Originality/value To the best of the authors’ knowledge, this study is the first to empirically test the link between the closeness in earnings components and accounting comparability. This study is also the first to examine cash flows versus accruals in the context of accounting comparability.

SIMULATION MODELLING AS A TOOL FOR RISK ANALYSIS AND DEVELOPMENT OF STRATEGY TO INCREASE REAL ESTATE INCOME

The purpose of th article is to substantiate the possibility of applying methods for assessing the effectiveness and risks of investing for the analysis of income in the strategic management of real property. Methodology. The methodical bases of sensitivity analysis and simulation modeling of cash flows of real property income are stated. Results. The critical factors of costs and revenues affecting net present value of total cash flow from grain elevator real property object have been revealed. It is evidenced that the most significant factors influencing the amount of cash flows are the volume of sales of grain elevator services, to a lesser extent the total costs and the lack of sensitivity of net present value to staff salary variations. Simulation modeling of the change in net present value due to the change of the most significant uncertain factors was performed, which confirmed the assumptions about the efficiency of the investigated real property. The key factors are the main services that generate net operating income and critical expenses. Namely, services: storage, drying, shipment by road and rail, costs: fuel for drying, electricity, fuel for transportation of grain, staff salaries. For each factor, the relevant limits of change were established (determined by experts taking into account the average annual growth rate of the indicator) and cash flow simulation was performed. Practical implications. Statistical analysis of the model's behavior under the influence of random factors shows that the most probable value of the net present value of cash flows will be positive, despite the simulation of a significant change (+/- 40%) in electricity and fuel consumption factors for grain transportation. The values of the simple and discounted payback period also confirm the efficiency of the elevator property functioning. The indicator of the stability level demonstrate the need of planning input cash flows sources to cover the output cash flows. Value/originality. The expected profitability of grain elevator real property is largely determined by the factor of the volume of basic services sales (storage, drying, shipment and transport of products). This creates the preconditions for the subsequent assessment of the value of grain elevator real property based on the methodology of the income approach.

Analysis of the state of the migration process of the ukrainian population in the context of domestic and international levels

Analysis of the migration process of the Ukrainian population, which takes place within the state and at the international level during 2014–2019 is carried out in this paper. On the basis of scientific works of domestic scientists and institutes the problems which have not been investigated, and also aspects which have been solved partially are defined. The negative consequences of the Ukrainian migration process on the state of the country are identified. The classification of migration flows of the Ukrainian population according to the reasons of movement is carried out. The main regions and countries which, as of the beginning of 2021, are more attractive to compatriots and are characterized by significant influxes of Ukrainians are identified. The main centers of departure – regions and countries – which are characterized by high level of outflow of Ukrainians are determined, the main problems and reasons that motivate the outflow of Ukrainians are highlighted in this paper. The level of growth of the Ukrainian population in terms of migration flows is defined. The investigation of Ukrainian diasporas, territorial location and analysis of their share in comparison is carried out. The main factors that force the Ukrainian population to move, which affects the demographic situation in Ukraine, the level of employment, as well as the amount of cash flows to the country and the state of the economy as a whole are identified. The main regulations and identified solutions to the migration flows of the domestic population, which were approved and implemented in the period from 2001 to 2019 are compared in this paper. On the basis of current and newly introduced strategies, critical analysis of the ways of regulating the migration process of the Ukrainian population is carried out, the main aspects and problems of the implemented migration policy of Ukraine are determined. The results of the work are to identify the main ways to reduce the negative impact of the migration process on the country's economy and related processes, and strategies to benefit from the movement of citizens of Ukraine, namely: introduction of intellectual security, revision of wages by region, stimulating the process of attracting technology in all spheres of activity and formation of the social protection system.

Pradhan Mantri Jan Dhan Yojana: An Initiative under Financial Inclusion

Indian Government consistently makes its efforts towards inclusion of vulnerable section in organized financial system. This system might not only provide huge amount of cash flow to boost Indian economy but it could also help the government to facilitate inclusive growth through offering different services scheme like MNAREGA payment, pension, various subsidies etc. For the inclusive growth of the Indian economy, the GOI started Pradhan Mantri Jan Dhan Yojanain 2014. Financial inclusion is an innovative idea in India, which empowers the alternative new techniques to encourage the banking traditions and acts for reducing the poverty. Household coverage of this scheme is better in the district wise account opening report of Uttarakhnad state. We can say that PMJDY is playing a significant role in creating a universal platform for inclusive growth in India.

MODEL FOR TRANSFORMATION OF THE LABOUR MIGRANS COSTS INTO A MECHANISM FOR ENSURING SUSTAINABLE DEVELOPMENT OF COMMUNITIES

This scientific paper is devoted to developing ways and models of converting the laboк migrants cost into the internal investment resources of United Territorial Communities, taking into account their new functions and powers. The article analyzes current data on the main aspects of Ukraine's international labor migration, namely: the number of migrants, their main employment areas, the largest recipient countries of labor migrants and donor regions, the amount of remittances and savings of migrants. In Ukraine, 882 United Territorial Communities have already been formed, which have received considerable authority from developing a development strategy to landscaping, approving a budget, setting local taxes and fees, defining social and cultural development. Considering the results of the research on the amount of cash flows, the availability of savings and the desire of many migrant workers to return to Ukraine, it can be argued that they have a huge potential to become one of the largest domestic investors of the United Territorial Communities. Therefore, migrants have resources, and UTCs have considerable authority to attract these resources. The authors present a scheme for forming an investment cluster of united territorial communities, the basis of which is the process of interaction between community leadership, academics and experts of higher education institutions, administrative services centers and migrant workers as potential domestic investors. The implementation and effective functioning of this model will create incentives for migrants to return and benefit from productive usage of their resources, as they will be able to earn enough income to keep families and create jobs for other residents. The community, in turn, will benefit from new tax revenues and other payments, the development of human potential and the formation of a positive image of the territory as a successful business environment.

A Study of the Cash Flow Forecasting Impact on the Owners Financial Management of Construction Projects in the State of Kuwait

Cash flow is considered to be the main acceleration’s factor of any construction contract, which has a large and direct impact on projects completion dates as well as the project contractual duration. This is very evident when examining how the owners benefit from their projects in achieving or forfeiting the desired economic feasibility determined in the feasibility study of any project.It is noted that the cash flow plan is issued through a Critical Path Method (CPM) for a project which entails only an estimate of the monetary value of the construction work to be carried out on site and on a rough and approximate basis using the cash flow’s curve (S-CURVE), which is usually gives a different value from the actual work performed onsite.The impact of this problem on financial management for any project is as follows:In the case of underestimation, if the available estimates are less than the required cash flow, it is considered as a major cause for delay in project completion as well as the inability of the owner to achieve the economic feasibility Internal Rate of Return (IRR) required for the project. Also, this leads to monitory error due to the financial compensations due to the contractor as a result of the damage caused by time extensions due to the holdings of the cash entitlements.In the case of overestimation of the value of the required cash flow with a high margin of error, this leads to the monetary waste of amounts that could have been invested in other ventures, projects or opportunities.This paper provides a summary of the importance of determining the appropriate amount of cash flows required to be provided by the owner’s financial management, which leads to achieving the appropriate projects financial management gains and thus reducing financial losses or disputes in construction projects in the State of Kuwait.

Electronic Payments Profitability Extent Model

Cashless payments are recent phenomena, which even increased with the introduction of contactless means like NFC, PayPass or payWave. Such new methods speed-up the entire payment process and in comparison to cash transactions are much simpler and faster. But on the other hand the key question for merchant is if it is worth to have such device, which accept these new payment means or not to have the terminal at all. What is the amount of cash flow, which delimits the cash holdings to be still profitable? This paper tries to give answers to such question by presenting general profitability model, which will address defining the cash threshold amount. The aim is to show that cash holdings could be profitable up to certain amount, but after the threshold is met, cashless payment methods are fairly superior despite their additional costs. Keywords: Cashless, Contactless, Card, Fee, Merchant, Payment, Transaction. DOI: https://doi.org/10.18267/j.aip.94

Pradhan Mantri Jan Dhan Yojana (the Financial Inclusion): A Study of Awareness

Time to time Indian Government consistently make its efforts towards inclusion of rural customer (investors) in organised financial system. This might not only provide handsome amount of cash flow to boost Indian economy but it could also help the government to facilitate rural development through offering various services like gas subsidies etc. Thus, nomenclature of financial inclusion varies due different ruling party, but the primary objective remains the same i.e. to flourish the bottom of the pyramid of financial market. The current states elucidates that present government upto some extent turn out to be successful by opening around 12.54 crore new bank account (up to January 2015) and deposits of more than Rs. 5000 crore (up to November 2014) through new form financial inclusion Pradhan Mantri Jan Dhan Yojana (PMJDY). But it has been observed that still the largest part of the rural market in untouched and not explored fully. Hence, this paper is an attempt to study about the awareness of PMJDY among its potential investor i.e. rural customer.

The Financial Management Practices of the Mosques in the Special Region of Yogyakarta Province, Indonesia

Objective – This study is trying to investigate the financial management of the Masjid (Mosques) in the Special Region of Yogyakarta Province. Three main issues were focused: the amount of cash flow which include the balances on hand; the application of transparency and accountability principles in financial matters, and sound practice of financial management which include budgeting, strategic formulation and performance evaluation. Methods - The study is an exploratory in nature. The Special Region of Yogyakarta consists of four counties and one city (municipality). 50 Mosques have been selected as the samples. Each county / city is represented by 10 Mosques. They are selected using sampling method. The simple descriptive analysis is conducted on the data collected. Results - Based on the data analysis, the study found that there is a significant cash flow of those selected samples, dominated by Infaq / Sodaqoh. Few Mosques recognized that they also receive Zakah and Waqaf fund. Conclusion - Generally the Mosque Management have applied the principles of transparency and accountability in the form recording, although their skill in doing so needs to be improved. However, a significant number of Mosques Management have not yet set the strategic formulation, as well as budgeting process to realize the budget and its evaluation. Keywords : Cash Flow, Financial Management, Mosque

Management of non-maturing deposits by multistage stochastic programming

The management of non-maturing account positions in a bank’s balance like savings and sight deposits as well as certain types of variable-rate mortgages is complicated by the embedded options that its clients may exercise. In addition to the usual interest rate risk, uncertainty in the timing and amount of cash flows must be taken into account when investment or refinancing strategies are determined. This paper introduces a multistage stochastic programming model where the stochastic evolution of interest rates and volume under management is described by stochastic processes in discrete time. Scenarios are generated by means of barycentric approximation which is particularly useful to deal with the observed correlations between interest rates and volume. Practical experience from the application at a major Swiss bank is reported where the model has been employed since the mid-90s.

A stochastic programming model for money management

Portfolio managers in the new fixed-income securities have to cope with various forms of uncertainty, in addition to the usual interest rate changes. Uncertainy in the timing and amount of cashflows, changes in the default and other risk premia and so on, complicate the portfolio manager's problem. We develop here a multi-period, dynamic, portfolio optimization model to address this problem. The model specifies a sequence of investment decisions over time that maximize the expected utility of return at the end of the planning horizon. The model is a two-stage stochastic program with recourse. The dynamics of interest rates, cashflow uncertainty, and liquidity, default and other risk premia, are explicitly modeled through postulated scenarios. Simulation procedures are developed to generate these scenarios. The optimization models are then integrated with the simulation procedures. Extensive validation experiments are carried out to establish the effectiveness of the model in dealing with uncertainty. In particular the model is compared against the popular portfolio immunization strategy, and against a portfolio based on mean-absolute deviation optimization.

Principles and Cash Flow Expectations of Reverse Mortgages

Reverse mortgages are relatively new instruments with some potential for enhancing the living standard and independence of the well elderly. Their importance as an incremental source of disposable income is likely to increase as demographic and political trends place increasing stress on public programs. Reverse mortgages are widely discussed, but the primary forms of these instruments and the amount of cash flow they will produce are not well understood. The types and financial characteristics of reverse mortgages are summarized. Examples establish general expectations for the level of cash inflows that reverse mortgages can generate for elderly people who own homes with modest market values. The article includes a discussion of these amounts in relation to the importance of incremental income to economically vulnerable home owners.

BOND PORTFOLIO OPTIMIZATION BY BILINEAR FRACTIONAL PROGRAMMING

A variety of bond portfolio optimization problems of institutional investors are formulated as linear and/or bilinear fractional programming problems and algorithms to solve this class of problems are discussed. Our objective is to optimize certain index of returns subject to constraints on such factors as the amount of cash flow, average maturity and average risk, etc. The resulting objective functions and constraints are either linear, bilinear or bilinear fractional functions. The authors devised a special purpose algorithm for obtaining a local optimal solution of this nonconvex optimization problem containing more than 200 variables. Though it need not generate a global optimum, it is efficient enough to meet users' requirement.