The ‘Functional Value’ (Valore Funzionale) in the Tuscan School of ‘Economia Aziendale’: the Contribution of Alberto Ceccherelli and Egidio Giannessi to Financial Valuation Theory

The work examines the theoretical contribution of two Italian scholars, Alberto Ceccherelli and Egidio Giannessi, to the subject of the financial statement measurement, in particular their “theory of functional valuation”. In this approach it was stated that the value of assets depends on the economic function they perform within the specific enterprise. The “functional value” does not refer directly to a real economic transaction, but is rather a value in use deriving from an entity-specific valuation based on the examination, for each category of asset, of ad-hoc quali-quantitative information.