If an organisations operations rely heavily on the specialised expertise of its management team, would you expect

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If an organisation’s operations rely heavily on the specialised expertise of its management team, would you expect there to be a higher or a lower correspondence between the net assets recognised in the statement of financial position (balance sheet) and the total market value of the organisation’s securities, relative to an organisation that relies more on tangible assets (for example, commonly used plant and machinery) to generate its income?

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Financial Accounting Theory

ISBN: 9780071013147

4th Edition

Authors: Craig Deegan, H. Bierman

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