Hello,
KraftHeinz is a recent example of a huge writedown on its brands Kraft and Oscar Mayer. How do these huge writedowns come about and what are the motivations? Because measuring values of intangible assets is not easy after all since I am not aware of a unified method in coming up with a value for an intangible asset. And if that is the case, how does one do the complete opposite (writing an intangible asset down)?
In Ben Grahams books readers were referred to always trying to find the fairest value of an intangible asset (or an asset at all). So the conclusion was to not completely write down intangible assets as well as to not overstate them but grant them a fair value. However I do not remember the exact method as to how (got to reread that ;D).
Any Ideas?