Written by: Barbora Choi on Thu Sep 18
Inputs for value in use calculation: pre-tax or post-tax?
The issue with the use of post-tax basis to calculate Value in Use lies in 'double counting'.
"It is ludicrous to believe that asset bubbles can only be recognized in hindsight."
My topic for today is the choice of a "pre-tax" vs "post-tax" discount rate for determination of Value in Use as proposed by the Exposure Draft Business Combinations - Disclosures, Goodwill & Impairment.
Today's post was a lesson for me too, let s take a look at the slidesā©
opening quote by Michael Burry, US-American investor.
