Trump lying about his assets, are many. That's probably why he won't disclose his taxes. For part of that disclosure, reveals income, and you can back into assets he actually HAS, that way.
But first, you need to understand how to read the counter evidence. The overall principle is ARM64, a Gov't rule about how a real value must only be determined at arm's length between a willing buyer and seller.
So none of DT's own valuations are valid.
Closest thing would be estimates of Fair Market Value, which Forbes
has long been trying to do.
More links will be added later, I have to reorganize my many links on this topic.
Point is, the way you value a business is by its INCOME. Not, revenues. Basic rule of thumb ARM64 will accept and most who are in the profession of corporate valuation will have you do, is this: multiply EBIT or EBT or post-tax Income (aka Earnings, the 'E') by 5. That presumes a 20% return. (The actual rules are much more complex, but every time I followed them I was still told to use the 5x method. So maybe after 30 years they don't do that, anymore. But I bet it still is used.)
Another rule of thumb is to pay 1x revenue. Many closely-held businesses are bought and sold every year this way.
Of course, 'earnings' and 'revenue' have to go through adjustments, depending on whether the 'revenue' is money from related enterprises 'moving' through the one you're evaluating -- a frequent Trump trick -- or whether the 'salary' you take is too big or too small (for earnings thus are under or over stated), etc.
There are many adjustments needed. If a financial statement is according to Generally Accepted Accounting Principles, then these adjustments are standard. But if they are one man's ego -- which they are, in DT's provided info -- then you have NO idea where the number comes from, and you should distrust it. DT in particular, reverses the GAAP rule of valuing property at the LOWER of cost or market. In a famous misvaluation of one of his golf courses, DT used the HIGHER of the two, and the difference was maybe 50 million bucks. So that tells you much.
Point is, we see how much he lies about EVERYTHING else, including vet donations, how low can you go -- so there's no justification for believing what he says about his assets, either.
HOWEVER, based on what we do have, if as his FEC disclosures contend he had 362 mill of income, then 5x that would be only 2 billion. If that is really REVENUE, and it might be, since DT often lists revenues as if income -- then the guy is actually poor, considering how illiquid his assets.
Now, if you're trying to look bigger than you are, and you have a lot of interests such as shown in the Forbes chart (link provided earlier, here's their graph) --
trump_holdings_010_web.png [ 48.59 KiB | Viewed 1793 times ]
Then you can make your assets look BIGGER, if you move money around IN them. Same for his campaign. If he loans his campaign money (and he did), then charges usage to one of his businesses, the BUSINESS looks bigger than it is. So has a happier financial statement, gets more credit, etc.
Ding. That's exactly what he is doing.. .