The actual value of a business can easily be found by finding
A) book value on the cash flow statement.
B) book value on the income statement.
C) book value on the balance sheet.
D) all of the above.
E) none of the above.

Question

Quizplus · Accepted Answer

The actual value of a business cannot easily be found by looking at the book value on any financial statement. Book value, which is an accounting concept recorded on the balance sheet, does not capture all the aspects that determine a business's actual market value, such as its future earning potential, brand value, and intangible assets.

The Actual Value of a Business Can Easily Be Found