Disclosure of Tangible Assets at Fair Value in Financial Reports

Author:PhD Student Monica JULEAN, PhD Student Elena IORDACHE

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Keywords:tangible assets, fair value, discount rate, CAPM model, discounted cash flows

Abstract:
The valuation of tangible assets is an important aspect of the general valuation process of a company. \r\nCurrent trend for valuation and disclosure of tangible assets is that a larger number of items to be disclosed at market value, that is fair value.\r\nChosing the right models for determining the fair value for many tangible and intangible elements that are found in the enterprises’ financial statements, represents a challenge for economists around the world.\r\nThis article propose a reviewing of the general model of evaluation at fair value în terms of tangible assets with a stop on the recoverable value of assets, as a method of determining the fair value, and presents the main elements to be taken into account in determining the recoverable amount.

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