Course detail

Rating and Valuation

FP-FropPAcad. year: 2022/2023

The course focuses on the following topics:
• Rating and its legal treatment, trends in development
• Methods for determining the value of an enterprise
• Strategic analysis for the purpose of assessment of the value of the enterprise
• Identification of value generators
• Practical application of the revenue method for valuing enterprises

Language of instruction

Czech

Number of ECTS credits

6

Mode of study

Not applicable.

Guarantor

prof. Ing. Mária Režňáková, CSc.

Department

Institute of Finances (ÚF)

Learning outcomes of the course unit

Knowledge: Students can describe the procedures of determining the value of an enterprise as well as current problems associated with the use of ratings. They know the conditions for the use of methods for determining the value of an enterprise as well as their limits.
Skills: On the basis of strategic analyses students can quantify value generators and determine a preliminary valuation of a business. They can recommend an appropriate method for determining the business value and in a simplified manner determine the value of a business. They are able to discuss the conditions for the applicability of the valuation determined.
Abilities: Students are able to apply methods leading to determining the business value and also identify the factors that increase the value of an enterprise as well as those that threaten it. They are able to model the impacts of strategic decisions on the- business value.

Prerequisites

A knowledge of methods of financial planning, models for determining the cost of capital.

Co-requisites

Not applicable.

Planned learning activities and teaching methods

The course contains lectures that explain the basic principles, problems and methodology of the discipline. The seminars especially promote the practical knowledge of the subject presented in the lectures.

Assesment methods and criteria linked to learning outcomes

Students will be evaluated in exercises based on presentations of partial results of a case study focused on determining the value of a business. The presentations can earn 30 points, a minimum of 15 points is required to receive credit.

The exam is written and students may score 70 points on the exam. The content includes both theoretical questions and examples. To pass the exam, the student must score a minimum of 35 points. The maximum length of the exam is 100 minutes.

The final grade is the sum of the points from the practical and the written exam according to the ECTS rules.

Course curriculum

  • Investment and business ratings. Rating companies. Methodological procedures for determining ratings.
  • Methods for determining the value of a business. Valuation process.
  • Strategic analysis for business valuation.
  • Value drivers. A financial plan for business valuation.
  • Discount rate.
  • Continuing value.
  • Specific issues in determining the value of a business.
  • Others valuation methods

Work placements

Not applicable.

Aims

The main objective of the course is:
- to present students the importance of rating and its use, types of rating, the process of creating investment rating;
- to familiarize students with approaches to determining the value of a business;
- to lead students to learn the income methods of determining the value of a business.

Specification of controlled education, way of implementation and compensation for absences

Control of results of independent work on assigned tasks.

Recommended optional programme components

Not applicable.

Prerequisites and corequisites

Not applicable.

Basic literature

DAMODARAN, A. Damodaran on valuation: security analysis for investment and corporate finance. 2 Ed. Hoboken: John Wiley & Sons. 2006. ISBN 0-471-75121-9 (EN)
DAMODARAN, A. Investment valuation: tools and techniques for determining the value of any asset. 2 Ed. New York: John Wiley & Sons. 2002. ISBN 0471414883 (EN)
JUREČKA, J. Oceňování ochranné známky jako součásti nehmotného majetku. 2. přepr. vyd. Praha: VŠE a IOM, 2007. ISBN 978-80-245-1303-4 (CS)
MAŘÍK, M. a kol. Metody oceňování podniku pro pokročilé: hlubší pohled na vybrané problémy. Praha: Ekopress, 2011. 548 s. ISBN 978-80-86929-80-4 (CS)
MAŘÍK, M. a kol. Metody oceňování podniku:proces ocenění,základní metody a postupy.2011, 494 s.. Praha: Ekopress, ISBN 978-8086929-67-5. (CS)
MAŘÍK, M. a MAŘÍKOVÁ, P. Moderní metody hodnocení výkonnosti a oceňování podniku. 2. přepr. a rozš. vyd., Praha: Ekopress. 492 s. ISBN 978-80-86929-32-3. (CS)
MAŘÍKOVÁ, P. a MAŘÍK, M. Diskontní míra pro výnosové oceňování podniku. 1. vyd. Praha: VŠE a IOM, 2007. ISBN 978-80-245-1242-6 (CS)
McKINSEY & COMPANY, KOLLER, T., GOEDHART, M., WESSELS, D. (2005) Measuring and Managing th Value of Companies. 4th Editon (University Edition). New Jersey: Wiley. 742 p. ISBN 978-0-471-70221-4. (EN)
ŠANTRŮČEK, J. Pohledávky, jejich cese a hodnota. 2. aktualizované vyd. Praha: Oeconomia, 2005. ISBN 80-245-0873-7 (CS)
VINŠ, P. a LIŠKA, V. Rating. Praha: C.H.Beck, 2005. ISBN 80-7179-807-X. (CS)

Recommended reading

MAŘÍK, M. a kol. Metody oceňování podniku:proces ocenění,základní metody a postupy.2011, 494 s.. Praha: Ekopress, ISBN 978-8086929-67-5. (CS)
ŠANTRŮČEK, J. Pohledávky, jejich cese a hodnota. 2. aktualizované vyd. Praha: Oeconomia, 2005. ISBN 80-245-0873-7 (CS)

Elearning

eLearning: currently opened course

Classification of course in study plans

  • Programme MGR Master's

    branch MGR-UFRP-D , 2 year of study, summer semester, compulsory

  • Programme MGR-UFRP Master's 2 year of study, summer semester, compulsory

Type of course unit

 

Lecture

20 hod., optionally

Teacher / Lecturer

prof. Ing. Mária Režňáková, CSc.

Syllabus

1. Investment and business rating. Rating companies.
2. Models of determining the solvency of a company. Methods of determining the value of a company.
3. Methodological approach to determining the rating and value of a company.
4. Strategic analysis for determining the value of a company.
5. Financial plan for determining the value of a company.
6. Discount rate for determining the value of a company.

Exercise

20 hod., compulsory

Teacher / Lecturer

prof. Ing. Mária Režňáková, CSc.
doc. Ing. Michal Karas, Ph.D.

Syllabus

  1. 9.2.   Úvod do předmětu. Beaverova analýza profilu
  2. 16.2. Bankrotní modely a jejich přesnost
  3. 23.2. Strategická analýza podniku
  4. 2.3.   Provozně nutný a nadbytečný majetek. Provozně nutný kapitál. Korigovaný provozní výsledek hospodaření
  5. 9.3.  Určení generátorů hodnoty. Předběžné ocenění podniku. Prezentace upravených výkazů, zdůvodnění úprav
  6. 16.3. Finanční plán podniku pro určení hodnoty podniku. Prezentace předběžného ocenění
  7. 23.3. Určení diskontní sazby. Prezentace finančního plánu a jeho zhodnocení
  8. 30.3. Určení pokračující hodnoty. Prezentace určení diskontní sazby
  9. 6.4.  Metoda kapitalizovaných čistých výnosů. Prezentace vypočtené hodnoty podniku
  10. 13.4. Prezentace ocenění metodou KČV a diskuse výsledků

Elearning

eLearning: currently opened course