Notes On Valuation Approaches
Notes On Valuation Approaches
Notes On Valuation Approaches
4. Income capitalization
approach.
- In practice, this approach in the
valuation of machinery and equipment
is not adopted. It is recognized that it is
rarely possible to identify an income
stream and allocate it to individual
assets. As a result, it is generally very
difficult, if not impossible, to determine
values for individual assets by reference
to the income approach.