Definition, Meaning & Synonyms
book-value
noun
/bʊk ˈvæl.juː/
Definition
The book value of an asset is its value on the balance sheet, which is the original cost minus any depreciation, amortization, or impairment costs.
Examples
- The book value of the machine was calculated after accounting for depreciation.
- Investors often look at the book value to assess the value of a company’s shares.
- She sold the property at a price above its book value.
Meaning
Book value represents the net asset value of a company or an asset as recorded in the company’s financial statements.
Synonyms
- Net asset value
- Equity
- Carrying value
