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Journal : IECON: International Economics and Business Conference

Relevance of Cash Flow Information in Long-Term Investment Assessment: Time Value of Money Perspective Nurul Khotimah; Muchriana Muchran; Uswatun Khasanah
IECON: International Economics and Business Conference Vol. 3 No. 1 (2025): International Conference on Economics and Business (IECON-3)
Publisher : www.amertainstitute.com

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.65246/0d0db776

Abstract

This study aims to examine the relevance of cash flow information in the long-term investment assessment process by considering the time value of money perspective. The study was conducted at PT Mahaka Media Tbk during the period 2020–2022, using consolidated financial statement data covering cash flows from operating, investing, and financing activities. The analysis methods used include cash flow evaluation, capital expenditure (CAPEX) calculation, and free cash flow (FCF) to measure the company's ability to finance its long-term investments internally. The results of the study show that PT Mahaka Media Tbk consistently experiences negative operating cash flow, which has an impact on the company's dependence on external funding to support investment. This condition affects the present value of future cash flows due to higher capital costs, thus reducing the feasibility of long-term investment. This finding emphasizes the importance of integrating cash flow information and the concept of the time value of money in investment decision making, in order to ensure that investment projects can generate added value sustainably. This study provides practical implications for financial management in formulating more effective cash flow and investment management strategies.
Co-Authors Adina Rakhma Safitri Adinda Shelma Maulidah Agus Sudarsono Alimudin Zuhri Anik Ghufron Ari Sofia Aulia Aulia Aurenza Shafa Shabilla Ayu Kartika Ayu My Lestari Saragih Cahyani, Nurul Kurnia Caska - Chandra Kartika Chandra Kartika Dewi Ambarwati Dhian Gowinda Luh Safitri Dyah Respati Suryo Sumunar Evi Susanti Fauziah, Isma fauziah Ferdy Al-Fikri Gunardo Gunardo Gunawan Santoso Hafis Abdul Amar Harpain, Harpain Haryono Tansah Hery Widijanto Irena Yolanita Maureen Izef Puspadani Damanik jurnalpps pps Kanthi Aryekti Khusna Laili Amalia Maman Surahman Mar'atana , Agisna Maria Y Aryati Wahyuningrum Maria Y. Aryati Wahyuningrum marsito - Mawanti Widyastuti Mei Ariani Kusumawati Miftahurrohmah, Linda Miftakhul Huda Mila Dina Nur Khasanah Muhammad Maulana Ishak Muhammad Saefullah Mutiara Aulia Putri Muzamil Muzamil Ning Iswati Ns. Dwi Retno Handayani Nugroho Mardi Wibowo Nugroho Mardi Wibowo Nur Ika Sari Rachmawati Nur Lestriyani Nurdewi Sulymbona Nurhadi Nurhadi nurul latifah Pinasti Pinasti R.M. Ryadi Fadil Rachma Hasibuan Raka Puja Susanto Rini Dwiastutiningsih Risa Amalia Kurniawati Rosida Rosyid Shidiq Hidayatulloh Ruliaty Ruliaty, Ruliaty Ruqoyyah Fitri Sariana Pangaribuan Sarifah Hairani Shendya Lukyana Yumna Shofiyyatul Hanani Sindy Nova Siti Nihar Salsabilah Siti Nurbaiti Sri Agustin Sutrisnowati Sri Setyowati Sri Sugiharti Sriadi Setyawati Suhadi Purwantara Syahdan Askabara Syahira Maddu Cinta Maulidya Triani Ratnawuri Wadira Anakoda Yes Matheos Lasarus Malaikosa Yonatan Yolius Anggara