Tuesday, April 13, 2010

What is the capitalized cash flow method?

I came upon a term I did not fully understand. What is the capitalized cash flow method for assessing a rental properties value? Ten points for who ever answers first and provides a reference.

What is the capitalized cash flow method?
Value is annual cash flow divided by rate of return desired. If cash flow is 100,000 per year and the desired return is 10%, then the property would indicate a price of $1,000,000 if there are no mitigating factors.





Business merger/acquisition valuations are similar--


http://www.mergers-acquisitions.com/valu...
Reply:i dont know
Reply:Hope this one will help... http://www.camagazine.com/index.cfm/ci_i...





I studied accounting 3 yrs ago. Sad to say, i can't think any words to simplify the answer for this one. Consult an accounting practitioner.

canine teeth

No comments:

Post a Comment