Modified Book Value Formula
We used the average number of shares outstanding because the closing period amount may skew results if there was a stock issuance or major stock buyouts.
Modified book value formula. The formula for calculating the book value per share is given as follows. For companies it is calculated as the original cost of the asset less accumulated depreciation and impairment costs. Book value may also be.
Once the updated valuations are determined modified book value is calculated by subtracting the total fair market value of the company s assets minus the total fair market value of its liabilities. Book value of assets formula. Book value of asset definition.
Therefore the calculation of book value per share will be as follows bvps total common shareholders equity preferred stock number of outstanding common shares 2 93 491 00 cr 592 18 cr. Book value per share will be bvps 495 61 book value calculator. Using the period end amount which includes short term events may.
Formula for book value per share. The formula for calculating book value per share is the total common stockholders equity less the preferred stock divided by the number of common shares of the company. You can use this book value calculator.