Cash value added (CVA)

Cash value added (CVA),

Definition of Cash value added (CVA):

  1. The Boston Consulting Group designed the following two CVA calculation methods:.

  2. A measurement of the amount of cash generated from operations minus the cash flow demands for the same period.

  3. Cash Value Added (CVA) is a somewhat esoteric metric developed by the research firm Boston Consulting Group, which measures a company's ability to generate cash flow above and beyond its cost of capital. Generally speaking, a high CVA signals a company's ability to produce liquid profits from one financial period to another. .

Meaning of Cash value added (CVA) & Cash value added (CVA) Definition