Explore BrainMass

Explore BrainMass

    How do you determine the value of assets of a business?

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    How would you go about determining the value of the assets of a business if you were unfamiliar with them?

    © BrainMass Inc. brainmass.com October 10, 2019, 3:34 am ad1c9bdddf

    Solution Preview

    The tangible assets that are purchased can usually be valued without much trouble. There are dealers in used equipment, for example, and there are standard methods of valuing accounts receivable, should the buyer purchase them. Similarly, ongoing jobs can be valued based on estimated profit yet to be realized.

    Any liabilities assumed are also easy to value because the remaining amount due is known or can be calculated. There are often other items on the balance sheet which are not purchased: ...

    Solution Summary

    This 309 word solution discusses methods of determination of value by type of asset. Additionally, it includes one reference source for further investigation of the topic.