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Maritime Economic and Shipbroking Assignment
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Added on 2020-04-21
Maritime Economic and Shipbroking Assignment
Added on 2020-04-21
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Maritime Economic and ShipbrokingDescriptive study of demolish con 2011Ship valuation or appraisals are normally valuations issued by firms dealing with shipbroking who have plenty of experience in the ship market and ship sales. These valuations are normally in the form of a simple letter consisting of few lines or sentences or alternatively use of a detailed certificate that consists of more particulars with details of the vessel as well as the valuer’ s disclaimer. The letter and the detailed certificate are viewed as tools for professionalexpression of opinion. The demolition value of a ship is usually based on the lightweight of the vessel and the demolition price in the market per the vessel’s lightweight ton. The demolition prices are important as they help in determining the vessel’s final residual value. A valuer who deals with selling and marketing of old vessels, uses this demolition prices aspect to enable him to determine the vessel’s lightweight. The valuer of older vessels will also be able to determine the ultimate residual value of a vessel and pick on prices offered for those ships under demolitionyard in several parts of the world. The cost of delivering a vessel to the demolition yard is reached at after the demolition value net. This value is normally under certain circumstances viewed as the lowest value of a vessel at one time. Using these value aspects of a vessel, a valueris able to determine and analyses on the possibility of further trading and market potential of the vessel. The opposite of demolition value is the new building value or prices. Newbuilding prices offer a guideline for a valuer to view modern tonnage in relation to the replacement cost of a vessel. However, it is not true to say that the contract price of a vessel will determine the second-hand value of that vessel on the day it is delivered. The value of the newbuilding can still go up or down at any time unlike during the heady day of the tanker boom where the newbuilding had contracts that were resold at substantial premiums (Stopford 1997). Demolition price is therefore the vessel’s ultimate residual value whereby the vessel’s lightweight and the price offered for their demolition yard are determined by the valuer and apply in various parts of the world. It is possible for a trader to use the demolition value pointers to make sound analysis when determining the market sentiments as well as the trading potential in regards to the demolition
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