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4 edition of Do liquidation values affect financial contracts? found in the catalog.

Do liquidation values affect financial contracts?

Efraim Benmelech

Do liquidation values affect financial contracts?

evidence from commercial loan contracts and zoning regulation

by Efraim Benmelech

  • 322 Want to read
  • 14 Currently reading

Published by National Bureau of Economic Research in Cambridge, MA .
Written in English


Edition Notes

StatementEfraim Benmelech, Mark J. Garmaise, Tobias Moskowitz.
SeriesNBER working paper series ;, working paper 11004, Working paper series (National Bureau of Economic Research : Online) ;, working paper no. 11004.
ContributionsGarmaise, Mark J., Moskowitz, Tobias J. 1971-., National Bureau of Economic Research.
Classifications
LC ClassificationsHB1
The Physical Object
FormatElectronic resource
ID Numbers
Open LibraryOL3475610M
LC Control Number2005615003

  Adjusted Book Value: An adjusted book value is a measure of a company's valuation after liabilities, including off-balance sheet liabilities, and assets are adjusted to reflect true fair market Author: Will Kenton. •the values of the various assets upon liquidation could be quite different from the values of those assets as part of the on-going business operation •These issues must be considered carefully when identifying the problem to be solved by the assignment.

Fundamentals of the liquidation method of business valuation are introduced in this paper. It contains findings from the main business valuation literature. In finance, valuation is the process of determining the present value (PV) of an ions can be done on assets (for example, investments in marketable securities such as stocks, options, business enterprises, or intangible assets such as patents and trademarks) or on liabilities (e.g., bonds issued by a company). Valuations are needed for many reasons such as investment analysis.

If a company decides to undergo LIFO liquidation, the old costs of inventory will be matched with the current, higher sales prices resulting in a higher tax liability. Key Terms. LIFO: Last-in, first-out (accounting). creditor: A person to whom a debt is owed. liquidation: The selling of the assets of a business as part of the process of. values understate the fair value of separable assets. As they point out, the market-to-book ratio would be a noisy measure of balance sheet conservatism because the market value contains the value of monopoly rents in addition to the value of separable assets. Further, several papers view market-to-book as the proxy for unconditional Size: KB.


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Do liquidation values affect financial contracts? by Efraim Benmelech Download PDF EPUB FB2

Get this from a library. Do liquidation values affect financial contracts?: evidence from commercial loan contracts and zoning regulation.

[Efraim Benmelech; Mark J Garmaise; Tobias J Moskowitz; National Bureau of Economic Research.]. Efraim Benmelech & Mark J. Garmaise & Tobias J. Moskowitz, "Do Liquidation Values Affect Financial Contracts. Evidence from Commercial Loan Contracts and Zoning Regulation," The Quarterly Journal of Economics, Oxford University Press, vol.

(3), pages Get this from a library. Do liquidation values affect financial contracts?: evidence from commercial loan contracts and zoning regulation. [Efraim Benmelech; Mark J Garmaise; Tobias J Moskowitz; National Bureau of Economic Research.] -- "We examine the impact of asset liquidation value on debt contracting using a unique set of commercial property non-recourse loan contracts.

But how do liquidation values affect financial contract rene-gotiation in practice. Although previous research has analyzed some of the implications of the incomplete contracts approach for financial contracting,1 there is little empirical evidence analyzing the ability of firms to renegotiate their financial liabilities and the.

How do liquidation values affect financial contract renegotiation. While the 'incomplete contracting' theory of financial contracting predicts that liquidation values determine the allocation of bargaining power between creditors and debtors, there is little empirical evidence on financial contract renegotiations and the role asset values play in such bargaining.

How do liquidation values affect financial contract renegotiation. While the "incomplete-contracting" theory of financial contracting predicts that liquidation values determine the allocation of bargaining power between creditors and debtors, there is little empirical evidence on financial contract renegotiations and the role asset values play in such bargaining.

Real Assets, Liquidation Value and Choice of Financing. (Harrison, Panasian and Seiler ), market-to-book Do Liquidation Values Affect Financial Contracts.

Evidence from Commercial Loan. But how do liquidation values affect financial contract rene-gotiation in practice. Although previous research has analyzed some of the implications of the incomplete contracts approach for financial contracting,1 there is little empirical evidence analyzing the ability of firms to renegotiate their financial liabilities and the.

Do liquidation values affect nancial contracts. Evidence from commercial loan contracts and zoning regulation, Quarterly Journal of Economics –   Benmelech E, Garmaise MJ, Moskowitz TJ () Do liquidation values affect financial contracts.

Evidence from commercial loan contracts and zoning regulation. Q J Econ –Cited by: Futures Contract: A futures contract is a legal agreement, generally made on the trading floor of a futures exchange, to buy or sell a particular commodity or financial instrument at a.

While the “incomplete-contracting” theory of financial contracting predicts that liquidation values determine the allocation of bargaining power between creditors and debtors, there is little. The balance sheet fulfills its role by providing information on liquidation values assuming book values approximate liquidation values.

Liquidation values are the amount of net assets available in the event of default. 2 Thus, liquidation values, and by implication balance sheet information, become increasingly important for equity valuation as Cited by:   Estimated Recovery Value (ERV): The projected value of an asset that can be recovered in the event of liquidation or winding down.

The estimated recovery value (ERV) is Author: Will Kenton. The accounts are transferred to two accounts, the liquidation account and the Shareholder's Distribution account.

The liquidation account has the following transferred into it: (1) all assets taken over by the acquirer, as well as any assets not taken over which have a zero value (2) all liabilities taken over (3) the expenses of liquidation if paid by the acquiree (4) consideration from the.

Multivariate empirical analyses herein indicate that (1) security design is a response to expected agency problems, (2) capital gains taxation affects contracts, (3) there are trends in the use of Author: Dietmar Leisen.

Valuation is used by financial market participants to determine the price they are willing to pay or receive to affect a sale of a business. Valuation is the process of determining the “economic worth” of an asset or company under certain assumptions and limiting conditions and subject to the data available at.

Introduction. A vast literature shows that laws and legal institutions explain international differences in financial development (La Porta et al., ; henceforth LLSV).In particular, debt enforcement laws that improve creditor protection allow lenders to enforce debt contracts in a predictable manner, either in court or through foreclosure proceedings, which in turn affects the Cited by: 2.

(the details of the contracts and promises between the debt contract parties), accounts receivables, and notes have been under the domain of the finance or treasury department of companies with a new breed of financial risk managers Managers responsible for managing the.

Introduction. This paper uses data on commercial aircraft to investigate empirically how asset characteristics affect lease contracts. More precisely, it focuses on one characteristic that lies at the heart of a leasing contract and has received a lot of attention in incomplete-contract theories of financial contracting: the salvage/liquidation value of the by:.

Up to 43, jobs are at risk worldwide at Carillion, includ in the UK. Some employees will be moved over to other contractors, particularly where they.

The liquidation preference is a term used in contracts to specify which investors get paid first and how much they get paid in case of a liquidation event. more Participating Convertible Preferred.Standard-setting activities that affect funds are summarized in the the first section of the publication, and standard-setting activities that affect advisers are summarized in the second.

The accounting and financial reporting updates for the banking and securities, insurance, and real estate sectors are.