When the investment company can control the invested company, the accounting treatment method of long-term equity investment, that is, the long-term equity investment account of the investment company, always keeps the original amount recorded at the original acquisition cost, and does not change with the operating results of the invested company.
Cost method is one of the real estate valuation methods. It is a method to estimate the objective and reasonable price or value of the appraisal object by calculating the replacement price or reconstruction price of the appraisal object at the appraisal time and deducting depreciation.
Extended data:
Reference scale of valuation of unlisted enterprises
1, 5~9 times profit (P/E ratio)
The reciprocal of P/E ratio is the return on investment, which is also true for non-listed enterprises. According to the specific situation of the enterprise, it can be enlarged to 2~30 times, and the enterprise can adopt the interval of 5~9 times.
2. 1~2 times net assets (P/B ratio)
The valuation of some bankrupt enterprises will be lower than 1 times, which may be due to the depreciation of inventory goods. It cost 3000 yuan to buy a mobile phone five years ago. If it doesn't open, it will be sold for 300 yuan in the future. If it can't be turned on, the value will be very low.
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