Value of operations
Value of operations (also known by its acronym, VOP, or VOP) is the present value of all expected future free cash flows when discounted at the weighted average cost of capital.
Definitions
According to Financial Management Theory and Practice by Eugene F. Brigham and Michael C. Ehrhardt (13th edition),
- Value of operations (VOP). The present value of all expected future free cash flows when discounted at the weighted average cost of capital.
Related concepts
- Financial management. A combination of enterprise efforts undertaken in order to procure and utilize monetary resources of the enterprise.
