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Author Question: Which of the following methods involves the development of a proxy benefit? A) net asset value ... (Read 77 times)

nramada

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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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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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Reply 2 on: Jul 6, 2018
Excellent


Jossy

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Reply 3 on: Yesterday
:D TYSM

 

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