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Find the Fair Market Value of a Business

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Find the Fair Market Value of a Business Powered By Docstoc
					            VALUATION OF A BUSINESS -- Name_________________________
To estimate the market value of a business, input data to cells B10 through B14.
The MARKET VALUES will be in B43 & B44. The weighting assigned below in column D may be altered if you have reason.

INPUT

FACTOR                                 NUMBER         SOURCE

SALES                                                 P& L
PROFIT,THOUSAND $'s                                   P&L
TOTAL ASSETS,THOUSAND $'s                             BALANCE SHEET
TOTAL LIABILITIES,THOUSAND $'s                        BALANCE SHEET
INTEREST RATE,% (10 yr. T-bond?)                      WALL STEET JOURNAL




OUTPUT, THOUSAND $'s
VALUATION METHOD                       MARKET         METHOD OF CALCULATION WEIGHT WEIGHTED
___________________                    VALUE                                _________VALUE
                                                      ____________________________

BOOK VALUE                                      0.0   ASSETS - LIBALITIES        0.5         0
CAPTALIZATION OF EARNINGS                       0.0                              2.5
                                                      CAPALTIZED EARNINGS+BOOK VALUE         0
DISCOUNTED CASH FLOW                            0.0                              2.5
                                                      5%DISCOUNT RATE, 5YRS+ 0.5TIMES BK VAL 0
STRAIGHT CAPALTIZATION METHOD                   0.0                                1
                                                      CAPALTIZED UNADJUSTED EARNINGS         0
YEARS OF INCOME PURCHASED                       0.0                                1
                                                      SUM OFADJUSTED EARNINGS+ BOOK VALUE    0
SALES PRICE RATIO                               0.0   SALES/PRICE RATIO            1         0
RETURN ON INVESTMENT                      #DIV/0!     RETURN ON INVESTMENT       0.5 #DIV/0!

                                                                                      9
AVERAGE OF UNWEIGHTED VALUES              #DIV/0!
AVERAGE OF WEIGHTED VALUES                #DIV/0!
COPYRIGHTED




B12-B13                     assets-liabilities
((B11-0.05*B24)/0.15)+B24   ((profit-0.05*bk val)/0.15)+bk val
(B11*4.33)+0.5*B24          (profit*4.33)+0.5*bk val
B9/0.15                     profit/0.15
(B9-0.05*B24)*5+B24         (profit-0.05*bk val)*5+bk val
0.99*B8                     0.99*sales
B9/(B14/100)                profit/(us tb /100)


SUM(B28:B34)/7              sum all values/7
SUM(E28:E34)/D36

				
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posted:5/11/2011
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