Yellow Iron Auctions appraisals are based on information derived from market research, assembling of data, using appropriate analytical techniques and applying our knowledge and experience in determining the value.
Yellow Iron Auctions appraisals are made in accordance with the code of ethics and the latest requirements of the Uniform Standard of Professional Appraisal Practice as set forth by the American Appraisal Foundation.
Before we begin an appraisal, we first determine the Purpose of the Appraisal, Description of the Equipment, and the Method of Inspection.
Approaches to Value include Cost, Market or Sales Comparison, and Income.
Depreciation is determined by Physical deterioration, Functional obsolescence, and Economic obsolescence, using both the Cost and Market approaches.
Final Estimate of Values considers Fair Market Value, Fair Market Value-Installed, Orderly Liquidation Value, and Highest and best use.
Sources of Information include Marshall and Swift as our primary reference source to ascertain current costs and previous costs for valuation and appraisal purposes. We also refer to publications in the field relating to the particular type of machinery and equipment that applies to the type of appraisal. There are several publications relating to liquidation values of manufacturing and construction equipment including Top Bid, Green Book, Machinery Trader, and The Book, to name a few.
Qualifications of Appraiser include Education, Employment history, and Professional and Civic organization memberships.