The Transactional Asset Pricing Approach : Its Application in Professional Business Valuation and Fair Value Theories

In this Working Paper we provide a review of The Transactional Assets Pricing Approach (V. Michaletz (2005a), V. Michaletz, A. Artemenkov & I. Artemenkov (2007), V. Michaletz & A. Artemenkov (2018)) and chart its practical areas of applicability within the continuum of existing Economic Measurement specialisms. In particular, we provide an example of its application to valuing a business against the S&P 500 benchmark (with the use of the TAPA's Basic pricing Equation and of the "Quick model") and highlight the relevance of TAPA to providing valuations performed on the basis of Eqitable/Fair Value, as this basis of valuation is defined in the IVSs 2017 edition. The Paper concludes that the characteristics of the IVS-compliant Professional valuation, as of a discussed specialism within Economic Measurements, render the TAPA framework particularly amenable to applications within this field