TSX:MPCT.DB - Post by User
Post by
eoim2on Oct 17, 2024 7:03am
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Post# 36269456
NET ASSET VALUE
NET ASSET VALUETo mask reporting its debt as a separate line item under liability in the balance sheet, MPCT presents it currently as transferred NET Asset, under the risky assumption that asset value is greater than debt. This is not true all the time because realized asset disposition value may be lower than the debt . So using this approach is flawed.
MPCT should be including 2 lines in its Balance Sheet for more Transparency, one under the Asset section, they should have " Equity Accounted Asset"; and Under the Liability Section, they should have " Equity Accounted Debt".
This would bring better understanding of the company 's true financial picture.