Question
What is a disadvantage associated with the replacement value method of a business valuation? options: It does not realistically reflect the market value of the
What is a disadvantage associated with the replacement value method of a business valuation?
options:
It does not realistically reflect the market value of the assets.
It does not account for intangible assets such as brand equity.
It does not always provide accurate costs for older assets.
It does not impose an upper limit on the value of the business.
It does not allow for a comparison between similar businesses.
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ANSWER It does not account for intangible assets such as brand equity Since brand equity is consider...
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Principles of Auditing and Other Assurance Services
Authors: Ray Whittington, Kurt Pany
19th edition
978-0077804770, 78025613, 77804775, 978-0078025617
