Business Valuation Management

ICWA :: Final
Paper 18 : Business Valuation Management
[One paper: Three Hours – 100 marks]

Objective . . .

•	To gain knowledge in different techniques of valuation of assets and liabilities
•	To understand the legal implications of merger and acquisitions

1.	Valuation Basis	10%
	• Principles and techniques of valuation • Asset valuation. • Earnings valuation • Cash flow valuation. • Other valuation basis • Efficient market hypothesis • Impact of changing capital structure on the market value of the company • Priorities of different stakeholders in terms of business valuation.
2.	Valuation of Mergers and Acquisitions	20%
	• Assets and cash flows • The strengths and weaknesses of various valuation method • Recognition of the interest of various stakeholders • Selection of appropriate cost of capital for valuation • Synergistic benefits • Forms of consideration and terms of acquisitions • Post merger integration process • Implications of regulations for business combinations • Types of exit strategies and their implications.
3.	Valuation of Assets and Liabilities	40%
	• Forms of intellectual property and methods of valuation • Valuation of fixed assets • Valuation of inventories • Valuation of investments • Valuation of shares • Dividend growth valuation models • MM theory • Valuation of options • Valuation of intangibles • Human resource accounting • Valuation of goodwill, patents and copyrights • Valuation of brands • Valuation of real estate • Relevant accounting standards.
4.	Case studies	30%