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 A valuation technique with which a recently sold asset is used to determine the value of an similar asset. This technique is often used in real estate to determine the initial sale price of a property.
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This technique is helpful for accurately appraising the value of any asset. For example a real estate agent may appraise the value of a home based on the most recent selling price of a house in the same neighborhood with similar attributes, such as square footage, bedrooms and bathrooms.
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Introduction to Fundamental Analysis - Here's an easy-to-understand tutorial on the techniques of analyzing a company's financial statements, including the annual and quarterly reports, the auditor's report, and much more.
Value By The Book - The P/B ratio can be an easy way to determine a company's value, but it isn't magic! |
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Related Terms
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