Schweser says the denominator here uses market value of assets less liabilities, while CFAI says it's the value of assets at replacement cost less liabilities.
Can anyone confirm the difference? Does it even matter? Sorry if this posted before..作者: susana 时间: 2011-7-13 17:26
Market Value = Replacement cost.
Why the doubt? What other price could you put on the assets if you had to replace them ?作者: mcmc 时间: 2011-7-13 17:26
Presumably market values includes such premiums as licensing fees or regulatory costs to build a polluting unit such as a chemical plant . It is whatever the market thinks is the value to replace it作者: mik82 时间: 2011-7-13 17:26
janakisri Wrote:
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> Presumably market values includes such premiums as
> licensing fees or regulatory costs to build a
> polluting unit such as a chemical plant . It is
> whatever the market thinks is the value to replace
> it
To construct a building in Dubai will not be equal to its market value if completed now since the values are so depressed at the moment.作者: Darien 时间: 2011-7-13 17:26
