Section 3
Valuing of Assets
Book
Version 3
By Boundless
By Boundless
Boundless Accounting
Accounting
by Boundless
3 concepts
Basic Components of Asset Valuation
Assets are valued using absolute value, relative value, or option pricing models, which require different inputs.
![Thumbnail](../../../../../../figures.boundless-cdn.com/22212/square/logo-apple.inc.gif)
Additional Factors to Consider
There are additional factors to consider when valuing a business including competition, management stability, etc.
![Thumbnail](../../../../../../figures.boundless-cdn.com/14020/square/00-turbo-getting-new-tyres.jpeg)
Valuing Repairs, Maintenance, and Additions
Improvements to existing plant assets are capital expenditures because they increase the quality of services obtained from the asset.