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Adjusted present value (APV) |
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Adjusted present value (APV)The net present value analysis of an asset if financed solely by equity (present value of unlevered cash flows), plus the present value of any financing decisions (levered cash flows). In other words, the various tax shields provided by the deductibility of interest and the benefits of other investment tax credits are calculated separately. This analysis is often used for highly leveraged transactions such as a leveraged buyout.Adjusted present value (APV) Similar MatchesInflation adjustedInflation adjustedAdjusted for inflation. Adjusted exercise priceAdjusted exercise priceTerm used in options on Ginnie Mae (Government National Mortgage Association) contracts. The final exercise price of the option accounts for the coupon rates carried on Ginnie Mae mortgages. For example, if the standard GNMA mortgage has an 9% yield, the price of GNMA pools with 13% mortgages in them is altered so that the investor receives the same yield. Adjusted basisAdjusted basisPrice from which to calculate and derive capital gains or losses upon sale of an asset. Account actions such as any stock splits that have occurred since the initial purchase must be accounted for. Adjusted balance methodAdjusted balance methodMethod of calculating finance charges that uses the account balance remaining after adjusting for all transactions posted during the given billing period as its basis. Related: Average daily balance method, previous balance method, past due balance method. Adjusted for inflationAdjusted for inflationCorrected for price changes to yield an equivalent in terms of goods and services. The adjustment divides nominal amounts for different years by price indices for those years -- e.g. the CPI or the implicit price deflator -- and multiplies by 100. This converts to real values, i.e. valued at the prices of the base year for the price index. Further Suggestionsadjusted gross incomeRisk adjusted profitability Net adjusted present value Adjusted gross income (AGI) Adjusted Gross Income Risk adjusted return Seasonally adjusted Risk adjusted return Adjusted debit balance (ADB) Risk adjusted discount rate adjusted earnings |
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