Brief Knowledge About Economic Damages

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Brief Knowledge About Economic Damages

• By HPAccounting.com

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INTRODUCTION

• Many times we can see that a business can suffer
  from economic damages that arises from various
  illegal conduct. You need to know how the damages
  should be determined before your company goes to
  court to recover losses and hire Economic Damages
  Expert. Make sure you have proper information
  before you take any action. There are many
  examples of it like patent infringement, breach
  of contract and commercial negligence.

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Methods The financial experts uses some methods
to calculate economic damages

• Yardstick Yardstick is a technique in which the
  expert benchmarks the performance of a damaged
  company to the external sources. These external
  sources include industry guidelines or publicly
  traded comparables. The hypothesis is that the
  companys performance would have imitated that of
  its rivals if not for the tortious act.

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Sales Projection

• Sale projection can be defined as the amount of
  income a company requires to earn in the future.
  Small corporations try different methods to
  manage sales projection. Various advantages are
  associated with it. If you are having correct and
  up to date sales forecast, then you can easily
  get loans.
• Banks provide loan on the time frame in which a
  business can provide profits. If you already have
  an established business, then you need to show
  the growth potential. With the help of sales
  projection, marketing and other departments which
  are functional design their budgets and prepare
  their projects.

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CONTINUED...

• Small companies should drive sales projections as
  it will help for a more widespread assessment.
• This way, they will be able to see and determine
  which product lines are damaging their business
  and the companies can act accordingly. Business
  owners can track low product sales. Small
  companies should be able to determine how should
  they publish their sales projections and share
  the numbers.

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CONTACT US

• HP accounting is a provider of interim and
  outsourced financial management for tech and
  various other companies. We are a CPA and
  business valuation firm provides Expert
  Witness Accountant. We support our clients
  compliance with the IRC 409A and SFAS 123(R)
  rules, intangible asset valuation as well as
  issues involving litigation.
• For more information, visit https//www.hpaccounti
  ng.com/