68. The Asset-Based Approach to Business Valuation

Track: 
General Valuation
Field of Study: 
Accounting
CPE Credit: 
1.5
Knowledge Level: 
Intermediate
Prerequisite: 
Basic knowledge of, or general experience in, forensic accounting, business valuation, or litigation

Wednesday, November 7, 2018
 
11:55AM-1:10PM

This session explains how the asset-based approach can be applied to value both operating companies and investment holding companies. This session describes how this approach concludes a marketable, controlling ownership interest. This session explains how the selected asset valuation methods and procedures can be applied to conclude either a going-concern value or a liquidation value of the subject business entity. And, this session presents illustrative examples of two common asset-based approaches valuation methods: (1) the asset accumulation method and (2) the adjusted net asset value method.

Learning objectives:

  • Understand when to apply the asset-based approach in a business valuation assignment
  • Distinguish between the asset-based approach to business valuation and the cost approach to property valuation
  • Analyze the conclusions of the asset-based approach with regard to (a) level of value concluded, (b) premise of value concluded, (c) income tax liability concluded, and (d) amount of goodwill concluded


SESSION SPEAKER(S)

President/CEO/COO, Willamette Management Associates