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Author Question: Which of the following methods involves the development of a proxy benefit? A) net asset value ... (Read 17 times)

nramada

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on: Jul 6, 2018
Which of the following methods involves the development of a proxy benefit?
 
  A) net asset value method
  B) guideline transaction method
  C) capitalization of earnings method
  D) dividend payout method

Question 2

Explain what book value is and provide an example of how it is calculated.


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iceage

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Reply #1 on: Jul 6, 2018
Answer to Question 1

C
Explanation: C) The capitalization of earnings (COE) method involves the development of a proxy benefit and the capitalization of this benefit to provide an indicated business value.

Answer to Question 2

Book value is the carrying value of an asset. An example is deducting accumulated depreciation from the cost of the asset.


nramada

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  • Posts: 580
Reply 2 on: Jul 6, 2018
:D TYSM

carlsona147

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Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

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