Article citationsMore>>

Brealey, R., & Myers, S. (1997). Principles of Corporate Finance. ZAO Olymp Business.

has been cited by the following article:

• TITLE: Correlation between Valuation Results Obtained by Using Before-Tax and After-Tax Cash Flow Discounting Models

  AUTHORS: Yuri Vasiyevich Kozyr

  KEYWORDS: Before-Tax Cash Flows, After-Tax Cash Flows, Before-Tax Discount Rates, After-Tax Discount Rates, Equivalence of After-Tax and Before-Tax Valuation Bases, Non-Equivalence of After-Tax and Before-Tax Valuation Bases

  JOURNAL NAME: Theoretical Economics Letters, Vol.15 No.4, August 14, 2025

  ABSTRACT: This article discusses ways to obtain convergence of calculation results obtained using before-tax and after-tax cash flow discounting models. Various ways of achieving this goal are proposed. Recommendations are given on how to achieve a more correct discounting of cash flows at the rates of alternative income calculated via the CAPM and WACC models. Suggestions are provided on the analysis and adjustment of the observed risk premium in relation to after-tax and before-tax capital cash flows. The appendices consider the theoretical impact of inflation on the amount of the observed risk premium and provide examples explaining recommendations for the correct accounting of the tax factor.