Why is identifiable intangibles calculated with book value of equity and not tangible book value?
Question says it all. Why is identifiable intangibles calculated as:
>Equity purchase price - book value of equity * % identifiable intangibles
And not
>Equity purchase price - tangible book value * % identifiable intangibles
Thank you!
Bump. Maybe even a high level explanation of Book Value of Equity vs. Tangible Book Value would be helpful.
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