1. Relative valuation method: This method evaluates the corresponding value of the target company based on the prices of other comparable companies. Determine the valuation of the target company by comparing the financial indicators and market position of the target company with other companies in the industry.
2. Income evaluation method: This method estimates the expected income of the appraised assets and converts it into the present value, thus determining the price of the appraised assets. This method focuses on the future income generated by assets and considers factors such as risk and market interest rate.
3. Cost evaluation method: This method estimates the objective value of the appraised object based on the investment cost and considering factors such as asset depreciation. This method is suitable for the situation that the asset market is inactive or the future income cannot be accurately estimated.
4. Absolute valuation method: By analyzing the history and current fundamentals of listed companies, this method predicts the future financial data reflecting the operating conditions of the company. This method combines the company's financial data, industry prospects and market development trends, thus obtaining an estimate of the company's value.
What is asset appraisal?
Asset appraisal is a process of evaluating or estimating the value of assets. By collecting and analyzing market data, financial data and other information, the actual value, potential value or economic value of assets in the market are determined by using various valuation methods and models such as market comparison method, income method and cost method. This process is very important in purchase, sales, preparation of financial statements, financing decision-making, tax assessment, insurance compensation and so on. Accurate asset evaluation helps to make wise decisions, reduce risks and maximize asset value.