define earning capacity method and asset backing method
Answers
Answered by
1
The determination of net assets value of the company is calculated first in this method. Earning capacity method: If valuation of share of any company is done by comparing 'expected rate of return' with 'normal rate of return', then it is known as Earning capacity method....
The net asset backing method provides the least complex and consistent basis for assessing the value of private companies
@Ramanari12❤☺
Similar questions