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Purchase-Price Accounting Adjustments and the “Cash Flow” Fallacy

Articles & Speeches, Investing Approach September 5, 2013May 20, 2016 admin

This article is an appendix from Warren Buffett’s Letter to Berkshire Shareholders, 1986. Buffett introduced the “owner earnings” concept and explained why this metric is useful in evaluating businesses.

Purchase-Price Accounting Adjustments and the “Cash Flow” Fallacy

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Free Cash Flow, Owner Earnings

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