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现值法
收益值
Value in use is determined using the present value of cash flow forecasts.
利用现金流量预测现值,使用价值是确定的。
Therefore, regardless of which income approach is adopted as the computational model when using the present value of future earnings method, the real meaning of the appraisal value will either be the value of the company's net assets, or it will be the total value of the company's assets or the total value of shareholders' equity (including the company's interest-bearing debts); the value does not include the company's future profits.
To put it simply, when using the present value of future earnings method, regardless of whether the asset appraisers use post-tax net profits or cash flow to determine the anticipated income, the real meaning of the appraisal findings will indicate the value of the company's net assets or the value of the company's total investments, but will not include the future income of the appraised entity.
If the total cash flow (the company's free cash flow) and the cash flow from the shareholders' equity (the equity's free cash flow) are used to determine the anticipated income value when using the present value of future earnings method, then the discounted present value of net income - that is, the appraisal findings - will be the total value of the company (including the value of interest-bearing debts) and the entire value of shareholders' equity, respectively.
Estimating the future anticipated earnings and taking the cumulative sum of the discounted present value are simply the specific computational processes utilized in the present value of future earnings method, and are thus distinct from the actual content of the appraisal when using the present value of future earnings method. Moreover, these computational processes are conceptually different than a company's actual profits as well as the existence, proportion and frequency of any dividends. As a result, the real meaning of the appraisal's contents must not be so misconstrued as to be equated with the means and approach of the appraisal.
In our asset appraisal work, if post-tax net profits are used to determine the anticipated income value when using the present value of future earnings method, then the discounted present value of net income - that is, the appraisal findings - will be the appraisal value of the company's net assets as of the Base Date of Appraisal.
In the Zhongzi Asset Appraisal Report, the parameters used when appraising a company's value when using the present value of future earnings method are projected income (the anticipated net profits are used to determine income), the capitalization ratio (i.e. the discount ratio) and the discount period (in years).
Based on Prof. SHEN's statement in Paragraph 16, it is evident failed to understand the difference between the computational process and the results derived using the present value of future earnings method, not to mention the real meaning of the results derived using the present value of future earnings method (i.e. the present value of net earnings as of the Base Date of Appraisal).
A Brief Introduction to the Method under (II) A Brief Introduction to the Present Value of Future Earnings Method on p. 10 of the main text of the Asset Appraisal Report, the appraisal findings using the present value of future earnings method may be clearly stated as follows: the present value of net earnings as of the Base Date of Appraisal is the appraisal value of the company's net assets as of the Base Date of Appraisal.
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