The only adequate way to arrive at the value of the telephone is to consider the nation as a whole, to take it all in all as a going concern
, and to note that such a nation would be absolutely impossible without its telephone service.
"Nope; never pays to split up a going concern
There's too much competition in the world anyway, and Disko says 'blood-kin hev to stick together.' His crowd never go back on him.
The appraisal community's collective view on the partitioning of going concerns
into components could potentially make a tremendous difference in how the field of real estate appraisal might evolve over the next few years and beyond.
Chairman Michael Hale said he thought it 'likely' some of the businesses could be sold on as going concerns
, saving some of the 450 jobs.
In general, customer-structure intangibles acquired apart from going concerns
were amortizable, whereas intangibles acquired as part of a going business were not.
Is the public being mislead into thinking that auditors have the special expertise to determine going concerns
? As history has shown, entities that fail often have an unmodified opinion for the prior year, and those that have a modified opinion are frequently around for the next year and, often, for many more years.
Because most viable operating enterprises trade as going concerns
and inasmuch as most investors are not interested in allocating the value among the components, issues of the existence and magnitude of the non-real estate components and how they are to be allocated pose problems to anyone analyzing such transactions.
Jonathan Weil ("'Going Concerns
'--Did Accountants Fail to Flag Problems at Dot-com Casualties?" Wall Street Journal, February 9, 2001) reported that during the wave of "dot-com" failures in 2000, only three of the 10 publicly held dot-com companies that filed for bankruptcy received going concern
opinions on their most recent audit report.
Unless distressed, they typically are traded as going concerns
. An appraisal of only the real estate or an allocation of the component parts, on the other hand, is often needed for real estate assessment appeals or condemnation assignments.
Management has concluded that these circumstances raise substantial doubt about PG&E Corporation's and the Utility's ability to continue as going concerns
, and their independent registered public accountants have included an explanatory paragraph in their auditors' report which states certain conditions exist which raise substantial doubt about PG&E Corporation's and the Utility's ability to continue as going concerns
in relation to the foregoing.
There is a continuous scale that reflects varying degrees of business enterprise value in going concerns
that depend on stabilized occupancy.
Here's part of the confusion: Gas stations and convenience stores, for example, are commonly bought and sold as going concerns
. However, real estate often makes up a majority of the value, usually 60 to 80 percent.