Firm valuation is a discipline of finance and accounting, also referred as business valuation. It is defined as the method to identify the total worth of a business. Firm valuation is a quite vital topic which helps in analyzing different aspects of business from a financial point of view. Students are supposed to study this topic in different accounting, economics and business related courses. They face difficulties related to the assignments as calculations may be difficult, methods of valuation may be complex and different for different business types. Also, students doing part time jobs are unable to manage the time properly, which results in poor quality of assignment and impact the grades.
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"There is no way to establish what a business is worth because business value means different thing to different people". According to an investor, the business value is totally defined by its historic income, but still there are three fundamental approaches to find out the worth of a business.
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