The problem is there’s a lot of discretion.
Bentancur was bought for around 10m, on 5 yr contract. His book value is like 8M. So if we transfer him + 50M for SMS. Juve could argue that 58M is the right valuation for Bentancur. While obviously understanding SMS’ value, it benefits Juve in two ways.
Suppose they value Bentancur at 40, and therefore SMS at 90, you then depreciate SMS at 18 per year and pay 20M to Boca. But if you value him at 8, the payment is only 4M and the depreciation charge is 11.6.
Just through valuation you not only juice your P&L but also your cash flow.
You can bet that if sold Beppe as part of an exchange, Bepps will look to understate that value as much as possible, with out it being obvious.
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