Book Value Of X

Importance of net book value.

Book value of x. Book value is equal to the cost of carrying an asset on a company s balance sheet and firms calculate it netting the asset against its accumulated depreciation. Net book value 200 000 60 000 140 000. Accumulated depreciation 15 000 x 4 years 60 000.

A current share price of 15 we start by calculating company x s book value by subtracting 2 billion liabilities from 3 billion assets to get a book value of 1 billion. As a result book value can also. Volkswagen polo 1 4 trendline book value toyota fortuner 3 0 d 4d 4x4 book value volkswagen polo classic 1 6 trendline book value hyundai atos prime 1 1 gls book value ford fiesta 1 4 trend 5 door book value.

In our example the nbv of the logging company s truck after four years would be 140 000. Net book value is among the most popular financial metrics around. For assets the value is based on the original cost of the asset less any depreciation amortization or impairment costs made against the asset.

Traditionally a company s book value is its total assets clarification needed minus intangible assets and liabilities. Then determine the asset s accumulated depreciation which is how much value the asset loses over time.