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what is the book value formula. Book Value Assets Original Cost Depreciation Lets say you bought a car. Assets Book Value Formula Total Value of an Asset Depreciation Other Expenses Directly Related to it Total Value of the asset Value at which the asset is.
Net Book Value Original Asset Cost Accumulated Depreciation. When compared to. Book Value Assets Original Cost Depreciation Lets say you bought a car.
The formula for calculating NBV is as follows.
Heres the formula of price to book value Price to Book Value Ratio Market Price Per ShareBook Value per Share. In the example above the assets book value after 6 years would be 10000 - 6000 or 4000. The original cost of an asset includes the original cost of acquisition plus any costs associated with the delivery and intended use of an asset to the purchase price. NBV Gross Cost Of Asset Accumulated Depreciation Lets start by calculating the original cost of an asset.