What refers to the present worth of the probable future net earnings? A. Total fair value B. Total market value C. Going concern value D. Earning value

Total fair value
Total market value
Going concern value
Earning value

The correct answer is D. Earning value.

Earning value is the present worth of the probable future net earnings of an asset. It is a measure of the asset’s ability to generate future cash flows. Earning value is often used to value businesses and other assets.

Total fair value is the total value of an asset, including both its market value and its intrinsic value. Market value is the price that an asset would sell for in a competitive market. Intrinsic value is the value of an asset based on its underlying economic characteristics.

Total market value is the total value of all the assets of a company. It is equal to the sum of the company’s market capitalization and its debt.

Going concern value is the value of a company as a going concern, i.e., as a business that is expected to continue operating in the future. It is typically higher than the liquidation value of the company, which is the value of the company’s assets if they were sold off piecemeal.

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