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the capstans, the barge connector winches, the communications
equipment, and the equipment in the galley.
Appraisers of towboats rely upon asking or selling prices of
comparable vessels to arrive at estimated fair market value.
Appraisers do not necessarily inspect a towboat’s condition.
When a towboat’s condition is inspected, the appraiser generally
performs a visual inspection or a walk-through of the towboat
being appraised to determine its general, overall condition. At
that time, a visual inspection of the exterior of its main
engines may be performed as the towboat is being inspected and
maintenance records for the towboat may be requested, but a
detailed inspection of the main engines is not performed. A
potential towboat buyer is interested in the vessel’s towing
capacity, age, condition, and maintenance, all of which would
have an effect on the price.
Towboats are generally classified as being in poor, fair,
good or excellent condition based on either a survey or a visual
inspection. As long as a towboat’s engines are operating and are
said to have been well maintained, no further examination or
inspection of a towboat’s engines is performed as part of a
typical valuation. Towboats are valued as a single asset and
separate values are not assigned to the various components.
Likewise, petitioners do not allocate the purchase or selling
price of a towboat among its various components.
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Last modified: May 25, 2011