International Glossary of Business Valuation Terms1
Adjusted book value method
A method within the asset approach whereby all assets and liabilities (including off-balance-sheet, intangible, and contingent) are adjusted to their fair market values. [Note: In Canada on a going-concern basis.]
Adjusted net asset method
See Adjusted book value method.
See Valuation approach.
See Valuation date.
See Valuation method.
See Valuation procedure.
Arbitrage pricing theory
A multivariate model for estimating the cost of equity capital, which incorporates several systematic risk factors.
Asset (asset-based) approach
A general way of determining a value indication of a business, business ownership interest, or security using one or more methods based on the value of the assets net of liabilities.
A measure of systematic risk of a stock; the tendency of a stock's price to correlate with changes in a specific index.
An amount or percentage deducted from the current market price of a publicly traded stock to reflect the decrease in the per-share value of a block of stock that is of a size that could not be sold in a reasonable period of time given normal trading volume.
See Net book value.
See Business enterprise.
A commercial, industrial, service, or investment entity (or a combination thereof) pursuing an economic activity. ...