Accumulated Depreciation 15000 x 4 years 60000. Alternatively Book Value can be calculated as the sum total of the overall Shareholder Equity of the company. Average Investment Book Value at Year 1 Book Value at End of Useful Life 2 Components of ARR If the ARR is equal to 5 this means that the project is expected to earn five cents for every dollar invested per year.
Company X has a PB lower than the industry average and lower than its peer group which highlights that X might be undervalued.
It can be defined as the net asset value of the firm or of the company that can be calculated as total assets less intangible assets that is goodwill patents etc and liabilities. Book Value formula calculates the net asset of the company derived by total of assets minus the total liabilities. This rate is kind of deadline whether this project produces net income or net loss. The stock price per share can be found as the amount listed as such through the secondary stock market.