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Sedbober [7]
3 years ago
9

Vincent is tasked with deriving the value for a large, custom home that was constructed nine months ago on a secluded 10-acre lo

t. Which approach could be considered the most reliable for valuation?
a. cost approach
b. income approach
c. sales comparison approach
d. All are equally reliable.
Business
1 answer:
Butoxors [25]3 years ago
5 0

Answer: Cost Approach

Explanation:

The best method Vincent should use for valuation is the cost approach.

The cost approach is a method of worth estimation that considers the cost of building an already existing structure: checking the value of the land used for building, the cost of construction and subtracting the devaluation overtime.

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Evaluate each of the following transactions in terms of their effect on assets, liabilities, and equity.
Lady_Fox [76]

Net change in assets =  15,000+ 75,000

= $90,000

<h3>1-Receive payment of $12,000 owed by a customer</h3>
  • No effect on asset
  • No effect on liability
  • No effect on equity
<h3>2-Buy $15,000 worth of manufacturing supplies on credit</h3>
  • Assets increase by $15,000
  • Liabilities increase by $15,000
  • No effect on equity
<h3>3-. Purchase equipment for $44,000 in cash</h3>
  • No effect on asset
  • No effect on liability
  • No effect on equity
<h3>4-Issue $75,000 in stock</h3>
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To learn more about assets visit the link-

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5 0
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Suppose your company needs to raise $68 million and you want to issue 20-year bonds for this purpose. Assume the required return
e-lub [12.9K]

Answer:

you would need 68000 of the coupon bonds to issue to raise the $68 million.

Explanation:

price of the coupon bond = $1000

number of coupon bond = $68 million/1000

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Therefore, you would need 68000 of the coupon bonds to issue to raise the $68 million.

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svetlana [45]
The first session of the national convention is generally devoted to giving speeches.
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