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Valuation Definition
Valuation Definition Valuation Definition

Valuation Definition

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Valuation means an appraisal - the act of estimating or setting the value of something.

It is the analytical process of determining the fair value.

There are two major approaches to valuing a firm – the Qualitative and the Quantitative Approaches.

For example, a business valuation is a general process of determining a business or company unit's value.

Business valuation may include valuing the business's assets, the debt, or the company's equity.

Valuation means an appraisal. E.G., the act of estimating or setting the value of something

According to financial literature, any asset's value is precisely equal to the discounted present value of all the cash flows that the asset will derive in the future. Therefore, in the valuation process, one must forecast future cash flows and estimate the asset risk.

The accounting approach of valuation is to assess the cost of replacing each of the assets the firm owns.

Equitest's online valuation platform offers the best valuation tools. The platform lets the user adopt various valuation methods.

Last modified on Saturday, 26 December 2020 07:24

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