Applying Research Of The Hypothesis Liquidation Method Of Bad Loads Value Assessment

Non-performing loans which has a lot of related research is the inevitable outcome of the development of our country’s economic The researchers studied disposal of non-performing loans situation from all angles; for the research of non-performing loans evaluation methods related studies took place in2004But due to the particularity of non-performing loans the evaluation method of the study has not been extensive and in-depth research people didn’t eventually find universal suitable evaluation methods So for the research of non-performing loans evaluation method there has much space to do something In this paper on the basis of predecessors’ study we adopt the method of theory analysis combined with the actual case validation and analyze the applicability of various evaluation methods by matching the value of non-performing loans of theoretical research and comparative analysis of several methods and combining with the actual situations of the majority of non-performing loans Meanwhile by the final comparison assuming liquidation method is selected as the most suitable method of non-performing loans assessment via verifying of actual cases Then we make a detailed explanation for this methodIn this paper, the theoretical basis of previous studies on comparative analysis of actual cases combined methods applied by matching the value of non-performing loans of theoretical research and comparative analysis of several methods to analyze the suitability of each assessment methods, combined with non-performing loans of China’s financial industry actual situation, select the assumption that liquidation law as non-performing loans of assessment methods, this paper analyzes the status of the use of assumptions and assumptions Settlement Act of Settlement Act apply practical problems in the case of the application process, in turn subdivided into hypothetical liquidation law assuming liquidation cost method, assuming liquidation market approach and income approach assuming liquidation, by assuming liquidation subdivision method makes use of the case more clearly explain the actual situation of different assumptions for the Settlement Act specifically how to use.The main conclusions of this paper are:(1) Assuming liquidation method is applicable to assessment cannot continue business operations or on the verge of bankruptcy, liquidation should be assessed using the hypothetical law requiring companies to have adequate information disclosure;(2)It’s necessary not only to consider the company’s solvency but also need to focus on other non-financial factors, such as how to ensure the quality of the collateral and the ability of the guarantor. So as to allow assessment of the results closer to the real value of non-performing loans, when evaluating in the use of assumptions Settlement Act;(3)Effective asset priority claim on the creditor is very important, and different analyzes have identified will make quite different, when evaluating the use of assumptions in the Settlement Act.