Small and Medium-Sized Enterprise Financial Management Goal

2339 WordsMay 1, 201110 Pages
abstract existing financial management objective have some distortion in revealing a firm’s capital and profit because people do not consider the cost of equity capital and have a conservative attitude in financial indexs to measure their performance .this paper introduces the main ideas of EVA. At the same time,it elaborates the significant advantages of EVA and it’s importance in Chinese. The first part Financial control 's goal is enterprise managing finances hoped realizes the result, is appraises enterprise managing finances to move whether reasonable primary standard. For the consummation financial control 's theory, the effective instruction financial control practice, must conduct the earnest research to the financial control…show more content…
Simultaneously EVA is also one can the owner financial control goal and the operator financial control goal close union link. Speaking of the operator, the owner uses take EVA as the foundation dividend drive plan, causes the operator to in advocate that EVA under the pressure sharpens the capital operation managed capacity, simultaneously the operator must the more effective use retained earnings, raise the financing efficiency, because EVA makes other people to realize that has the price to enterprise 's all resources, when utilizes EVA is the foundation dividend plan, is not only just or negative carries on the reward according to EVA, but carries on the reward according to the EVA growth. But in other, on the one hand, divides under the EVA system through the establishment the dividend reward and the dividend payment the dividend bank, may prevent the operator to operate EVA the earnings administrative action, simultaneously gives the high achievement honest manager has provided the very big drive. Speaking of the shareholder owner, EVA has developed the enterprise four aspect potentials: Raises the efficiency, to reduce the cost, the reduced waste, the economical taxes and levies, is the enterprise creates more wealths, makes the profit to increase; Enhances the capital transport business management ability, through raises the profit efficiency to the property reorganization; The pursue health, has
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