Capability
Connect accounting decisions with supportable healthcare asset and business values.
A transaction's purchase price does not by itself explain the values assigned to the assets acquired. Healthcare arrangements can include tangible property, identifiable intangible assets and contractual rights with different economic lives.
Cabra provides valuation analysis for financial reporting questions, with the subject assets, measurement date and intended use defined alongside the organization's accounting advisors.
An acquisition, impairment question or change in ownership may require a different valuation premise. The starting point is the reporting purpose and the unit being measured—not an assumption that transaction value and accounting value are interchangeable.
Analysis may consider expected cash flows, useful lives, contributory assets and the relationship between identifiable assets and the overall business. Assumptions should be traceable to the information available at the measurement date.
The agreed work can document methods, inputs, sensitivities and conclusions for discussion with management and accounting advisors. Cabra's role is valuation support; accounting policy decisions and assurance remain with the appropriate professionals.
Start with the facts
Contact Cabra Consulting to discuss the arrangement, the question to be answered and the financial support that may be useful.