Estimate the value of intangibles Determine the total business value
A potential buyer is evaluating a company using the Excess Earnings Method (EEM). The company has the following financial details: Adjusted Tangible Net Worth = $280,000 Opportunity Cost Rate = 23% Alternative Salary the Buyer Would Earn = $38,000 Projected Net Earnings = $90,000 Years-of-Profit Figure for Intangibles = 4.2 Compute the opportunity cost of … Read more