"The more you know about a company and how it has grown over time, the better your calculation of the liquidation value will be. On a positive tone, a company that has been using historical cost accounting and never revalued real estate properties could have a huge hidden value. Therefore, **it is extremely important to estimate the real (or fair) value of the assets analyzed and look beyond the actual number on the balance sheet**. Balance sheet numbers are an accounting measure, not a measure of value." ([Location 2584](https://readwise.io/to_kindle?action=open&asin=B07CNFFJ9J&location=2584)) --- **Tags** -- [[quotes]], [[liquidation-value]], [[book-value]], [[accounting]] **Source** -- [[202506221723 - LN - Modern Value Investing]]