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Adjusting owners’ compensation in business valuation

$225.00

SKU: VLBma183. Category: .

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Abstract: Owners of privately held businesses may draw large salaries because of tax advantages or take little or no salary to enhance the company’s reported earnings. In these cases, the valuation expert needs to “normalize” owners’ compensation and adjust it to a reasonable level. This article identifies factors that valuators consider in determining reasonable owners’ compensation.

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