What is future maintainable profit?
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Answer # 1 #
Future Maintainable Profit: It is nothing but the future profits likely to be earned. As is clear from the name itself, Future Maintainable Profits are the profits that are expected to be earned by the business in the coming future. How to Calculate Future Maintainable Profit in Valuation of Goodwill - By CA Gopal Somani. The steps necessary to arrive at the future maintainable profits of a company are: (a) calculation of past average taxed earnings; (b) projection of. Future Maintainable Earnings (FME) methodology is the most common method of valuing business in Australia. What's the purpose of doing future maintainable profits.
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