Random Risk Factors Influencing Cash Flows: Modifying RADR

In this article, we focus on considering different risk factors influencing the cash flows of a group companies. A methodology is suggested for approximated consideration both seasonal and random fluctuations in environment, which have some impact overall activity may be considered via modification risk-adjusted discount rates. The main steps are described, elements rate presented. Although it general convention to use market as most cases, under certain circumstances—i.e., stochastic shocks related level interest rates, shifts, turnabouts social well transformations due annual/seasonal epidemics, becomes essential. influence changes environment companies’ through illustrated numerically graphically providing analysis exogenous parameters output, profits, net present value, discounted payback period initial investment.