ROLE OF THE ACCOUNTING INFORMATION IN THE COMPANY ASSESSMENT PROCESS

Abstract

The need to valuate the company emerges in various moments (the purchase and sale of a company or of part of its stock, reorganization by merger, division, the owners’ wish to know the current value of their investment, etc.). The information basis of the valuation of a company comprises both the accounting data and additional information from the market (or from the external environment). The value of the company is continuously under the influence of external factors (turnovers, income or loss, asset value, debt value, etc.) and of external factors (the economic situation at global and national level, growth at the level of business branch in which the valuated company operates, loan and deposit interest rates, etc.). The article aims at presenting all the above/mentioned aspects, emphasizing the method of collecting, processing and using accounting information in the process of determining the value of a company.