Study On Intangible Assets Evaluation Methods

With the development of economic globalization and knowledge economy, the proportion of intangible assets in the enterprise assets is increasing; the types of intangible assets are also becoming more and more abundant. The assessment of the value of intangible assets is necessary in the property transaction, the shareholding system reform and the establishment of Sino-foreign joint ventures or Sino-foreign cooperative enterprises. As the assessment of the value of intangible assets in China start relatively late, the legal system of asset valuation and the management system is still not perfect. During the past few decades, Chinese enterprises and China have to pay a heavy price—the value of a large number of intangible assets was underestimated and a large number of intangible assets was lost. Today, the types of intangible assets and the transaction of intangible assets are developing continuously, but methods on assessment of the value of intangible assets is still as ever, cost method, market method and income method has been far from enough to meet the needs of the development of intangible assets, it is an urgent need to explore some new assessment methods of intangible assets.Based on the above purpose, the article is trying to open up a few new ways of intangible assets combined with some forefront theory in the economic field. Firstly the article introduces the basic idea of intangible assets and the basic knowledge on the assessment of the value of intangible assets, secondly three traditional methods of intangible assets assessment are compared, their scope of the application and their shortage are discussed, the article pointed out it is necessary to improve assessment methods of intangible assets. Thirdly the article proposed two new ideas: Black-Scholes option pricing model and the EVA method.Black-Scholes option pricing model originally appeared in the field of financial options, then it was applied in the field of real options, the article pointed out that intangible assets had some typical characteristics of the call option by analyzing some typical characteristics of intangible assets, then theoretically proved that Black-Scholes option pricing model can be used to assess the value of intangible assets. By the way of some typical case of proof, the article figured out how to determine the parameters, how to use the option pricing model to assess the value of intangible assets, thus the article opened up new ideas of using Black-Scholes option pricing model to assess the value of intangible assets with the option nature. EVA (Economic Value Added) method was originally used in financial management and corporate performance evaluation, the article put it into the overall value of the enterprise's assessment by deriving a mathematical formula and proving methods of the case, further extended it to assess the value of the goodwill , a kind of intangible assets ,in cut method according to the characteristics of the value of the goodwill is closely related to the overall value of enterprises.