Pascal PIERRE edited section_Building_a_Profitability_Valuation__.tex  almost 8 years ago

Commit id: eebd37e1e98bbd66121dae6471441216a1670b58

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\begin{equation}  Cash & Other Non-Operating Assets+Operating Assets=Debt+Equity  \end{equation}  The Assets side of the balance sheet is composed of Cash and Other Non-Operating Assets + Operating Assets. Operating Assets are  comprise of  Fixed Assets, Intangible Assets and Working Capital. The other sied of the balance sheet is thus made up od Debt and Equity. Capital, so that we have :  \begin{equation}  Cash & Other Non-Operating Assets+Fixed Assets+Intangible Assets+Working Capital=Debt+Equity  \end{equation}  \\  Thirdly, we need to identify a certain number of accounting identities similar to the ones we used for the \textit{RIM} in order to link cash-flow generation, the balance sheet and the market value of the balance sheet.