.In addition, for distressed industries,once these estimates have been made,the appraiser must use an iterativeHal B. Heaton, PhD … distressed industries, eq-uityinvestors pay a ( small) positive pricefor the equity even though the underly-ingassets are worth … in appraising prop-ertiesin distressed industries stemsfrom using debt/ equity ratios oftradedcompanies to estimate the …