Average Book Value Calculator
Book value per share will be bvps 495 61 book value calculator.
Average book value calculator. For instance a widget making machine is said to depreciate when it produces less widgets one year compared to the year before it or a car is said to depreciate in value after a fender bender or the discovery of a faulty transmission. The book value per share is considered to be the total equity for common stockholders which can be found on a company s balance sheet. Sum of net book values years of investment 1 450m w4 5 1 75m.
Market to book value ratio 5 2 000 000 4 000 000 2 5. The value of the assets is largely dependent on the book value. In the example above the asset s book value after 6 years would be 10 000 6000 or 4000.
Fill in the 10 years federal note discount rate. Net book value formula original purchase cost accumulated depreciation original purchase cost here means the purchase price of the asset paid at the time when the company purchased the assets. Conceptually depreciation is the reduction in value of an asset over time due to elements such as wear and tear.
You can use this book value calculator. Assume a corporation having a share price of 5 in the stock market. Enter the calculation time period.
Fill in the average percent change in book value per year. Consequently higher book value represents a greater return for the investors and shareholders. Cash taken out of business per share.
The formula used to calculate the net book value of the assets is as below. It has 2 000 000 outstanding shares. Uses of book value.