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NACVA Exam CVA Topic 2 Question 72 Discussion

Actual exam question for NACVA's CVA exam
Question #: 72
Topic #: 2
[All CVA Questions]

Asset accumulation method can quickly quantify the effects on business value of many common seller structural considerations, such as:

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Suggested Answer: D

by Noah at Aug 08, 2023, 05:14 PM

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Belen
3 months ago
Hmm, the asset accumulation method, huh? Sounds like a fancy way of saying 'add up all the stuff the seller has and see what's left.' I'm just glad they're not asking about the 'paperclip and chewing gum' valuation method.
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Alida
2 months ago
D) What if seller does not legally retain any or all of the debt instruments?
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Katie
2 months ago
C) What if seller sells the title of the patents or to some other intangible asset owned by the company?
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Jillian
2 months ago
B) What if seller does not retain (or leases back to the company) the operating real estate facilities?
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Roselle
2 months ago
A) What if the seller retains the company's cash on hand or accounts receivables?
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Martina
3 months ago
Ooh, this sounds like a great way to get a handle on how different seller decisions can affect the bottom line. I'm taking notes, because I definitely don't want to miss any of these juicy details on my exam.
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Milly
3 months ago
Ah, the asset accumulation method, the Swiss army knife of business valuation! I bet it would even work for that one time my uncle tried to sell his 'patented' paper clip design.
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Myong
3 months ago
The asset accumulation method is really handy for quantifying the impact of different seller considerations. I like how it covers scenarios like retained cash, real estate, patents, and debt - that's super useful for valuation.
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Audry
2 months ago
C) What if seller sells the title of the patents or to some other intangible asset owned by the company?
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Benedict
2 months ago
B) What if seller does not retain (or leases back to the company) the operating real estate facilities?
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Melvin
2 months ago
A) What if the seller retains the company's cash on hand or accounts receivables?
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Kirk
4 months ago
Exactly, it gives a clearer picture of how different factors can impact the value of the business.
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My
5 months ago
I agree, it helps to consider different scenarios like retaining cash or selling patents.
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Kirk
5 months ago
I think the asset accumulation method is important for determining business value.
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