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Companies usually record their assets on book values, and define profitability and capitalization on market value. A general rise in stock price of a company
Companies usually record their assets on book values, and define profitability and capitalization on market value. A general rise in stock price of a company can increase overall market value of company. Whereas, assets are subjected to depreciate at regular interval which actually decrease market value of total assets. In such cases companies usually see mismatch between asset and claim side of balance sheets. How companies fill this game?
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Practical Business Statistics
Authors: Andrew Siegel
6th Edition
0123852080, 978-0123852083
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