Answered: What is the six -step process involved…

Business

Finance

What is the six -step process involved in valuation?

Auditing: A Risk Based-Approach (MindTap Course List)

11th Edition

ISBN:9781337619455

Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

Publisher:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

Chapter12: Auditing Long-lived Assets And Merger And Acquisition Activity

Section: Chapter Questions

Problem 3RQSC: Identify the five management assertions and describe how they are relevant to long-lived assets.

See similar textbooks

Related questions

Q: Describe the three-step process for estimating WACC.

Q: main sources of information for valuation?

A: Valuation is the process of determining the fair market value of a company's assets or operations.…

Q: Explain the Appraisal Process and Approaches to Valuation?

A: Buyers who intend to buy a property often obtain it on loan. Lenders provide the loan on security of…

Q: two terminal valuation methods used in DCF valuations, and give the formulas for each.

A: Terminal value is the value of an asset, a business, or a project beyond the expected period when…

Q: Describe the five-step decision-making process?

A: To take decision means to choose the one between so many alternatives. Decision making is a process…

Q: How do you integrate the different valuation approaches into a report? Explain it.

A: The valuation approach is a method used to determine the fair market value of a business. Most…

Q: Which methods are for setting standards? Choose as many a)analysis of historical data b)task…

A: Standard costing involves setting-up predetermined cost or expenses estimates. Such predetermined…

Q: What is the six step process involved in valuation?

A: IPBES proposes a six-step protocol to guide valuation studies and assessments of existing and…

Q: discuss all four investment appraisal methods

A: Investment appraisal is the examination carried out to take affordability and strategic fit into…

Q: here are a number of factors, which are considered when designing the most appropriate asset…

A: Introduction : In simple words, asset classes refers to the process under which a manager…

Q: What are the 3 approaches to appraisal valuation?

A: Appraisal valuation deals with valuation of a property. There are diffreent types of property and…

Q: What methods are used in practice to determine the extentof progress toward completion? Identify…

A: Cost-to-cost method: It is a method to determine what percentage of work is completed and this…

Q: Discuss your understanding in valuation.

A: Valuation is the process that is used by the company in order to determine the fair value of an…

Q: What is meant by activity analysis? Give 3 criteria for determining whether an activity adds value.

A: The actions taken on a good to add some worth to it or to provide some extra benefit to the…

Q: What is meant by the term activity analysis? Give three criteria for determining whether an activity…

A: Activity analysis: It is the complete classification and description of the activities performed in…

Q: Discuss the concept of valuation. What is this concept about? Why is it important? What are some…

A: Valuation in simple words is valuing an asset or a financial security in its present value by…

Q: Explain and apply the five-step revenue recognition process.

A: Revenue: It refers to the earnings of the organization during the period as a result of business…

Q: What is one objective of an appraisal program? a. having tho

A: What is the one Objective of an appraisal program ? a. having the employee feel more valued b.…

Q: Explain the importance of the review and evaluation process.

A: Introduction The financial plan monitoring for workplace review and evaluation is found essential to…

Q: What can you see from vertical analysis? Or comment briefly on the facts revealed by your analysis.

A: Comparative balance sheet(horizontal approach) means where increase or decrease of every item is…

Q: Describe Self-Constructed Assets and explain Research and Development

A: Property, plant and equipment: Property, plant and equipment are the tangible assets which are…

Q: hat is a Going-Concern? How is it related with valuation?

A: It is the analytical method of determining an asset's current (or projected) value. A valuation can…

Q: Differentiate between Appraised value and Assessed value?

A: Difference between appraised value and Assessed value:Appraisal value refers to that on a specific…

Q: hat are the main principles of valuation?

A: The process of assessing the fair market value of a company's assets or operations is known as…

Q: Identify and describe three asset management industry trend

A: Asset management industry : Currently the asset management industry is experiencing significant…

Q: What is the six-step process involved in valuation?

A: IPBES proposes a six-step protocol to guide valuation studies and assessments of existing and…

Q: Question “ A scheme of reconstruction must fulfill certain basic conditions before it is…

A: The five conditions that must be fulfilled under the scheme of reconstruction are:

Q: EXPLAIN THE RESULT OF EACH ITEMS

A: Balance sheet is the statement of assets, liabilities and equity which means the value of the these…

Q: The main elements of the relative valuation approach are: a. The valuation target, the comparison…

A: The relative valuation method is a valuation method that will be trying to ascertain the value of…

Q: Explain briefly the purpose of Valuation

A: Introduction:- The Companies (Registered Valuers and Valuation) Rules, require registered valuers to…

Q: Explain the importance of an accurate valuation of inventories and list steps for the verification…

A: Inventory refers to the stock held by the company for the purpose of sale or the stock that is not…

Q: Which of the following elements of fi nancial statements is most closely related to measurement of…

A: Financial statements are statements which provides the information about the financial position of…

Q: Understand and apply the five-step revenue recognition process.

A: Revenue: Revenue refers to the earnings of the organization during the period as a result of…

Q: Describe the valuation principles of the acquisition method.

A: Acquisition: The acquisition refers to the business combination when one entity or organization…

Q: scheme of reconstruction must fulfill certain basic conditions before it is undertaken.” Briefly…

A: Step 1 Scheme of reconstruction means a scheme of merger, division, or other reconstructing that…

Q: What are the main principles of valuation?

A: The process of assessing the fair market value of a company's assets or operations is known as…

Q: Which methods are for setting standards? analysis of historical data task analysis…

A: The question is multiple choice question.The standards are always set by keeping in view the past…

Q: Calculate the future worth of a single quantity by identifying the three essential pieces of…

A: This question explains about the future worth of a single quantity by identifying the three…

Q: What is asset specificity Identify three different types of asset specificity.

A: An asset is something that has monetary value and potential future value. A piece of machinery,…

Q: Summarizes the process of performing incremental inves1ment analysis?

A: The incremental analysis is likewise a quantitative dynamic technique called cost approach, marginal…

Q: What are the five steps involved with the use of preliminary analytical procedures?

A: Analytical Procedure: Analytical procedure is a method by which standard balances are compared with…

Q: A ___________________________is a detailed plan for acquiring and using financial and other…

A: Financial plan: It can be defined as the comprehensive evaluation and overview of the financials of…

Q: Why do you think appraisers usually use three different approaches when estimating value?

A: The three different ways to compute the value of real estate are the cost approach, the income…

Question

What is the six -step process involved in valuation?

List the six steps in sequence, explaining and discussing the importance and relevance of each step (as applicable).

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Introduction-

VIEW

Explanation-

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, finance and related others by exploring similar questions and additional content below.

Similar questions

What is the six-step process involved in valuation? List the six steps in sequence, explaining and discusssing the importance and relevance of each step (as applicable)
What is the six step process involved in valuation? List the six steps in sequence, explaining and discusssing the importance and relevance of each step
Investment management processes can be disclosed by five-step procedure, explain each briefly.
. The fifth step in the appraisal process, reconciliation is: Select one: a. the addition to the market and residual approaches b. dependent upon the nature of the property and objective of the appraisal. c. simply the median of the three approaches to value d. simply the average of the three approaches to value
There are a number of factors, which are considered when designing the most appropriate asset classes. Identify a minimum of five factors and comment on their importance in the process.
Explain the Appraisal Process and Approaches to Valuation?
Identify and explain five criteria by which a taccounting heory may be evaluated?
How do you integrate the different valuation approaches into a report? Explain it.
Describe the five-step decision-making process?
Identify four ratios or other analytical tools used to evaluateprofitability. Explain briefly how each is computed.
Describe the valuation principles of the acquisition method.
The main elements of the relative valuation approach are: a. The valuation target, the comparison asset and the valuation measure. b. The valuation target and the relative performance measure. c. The relative valuation anchor, the valuation indicator and the valuation reference point. d. The target, the measure, the anchor, and the loss point.