Definition for : Net asset value

This is a Solvency-oriented concept that attempts to compute the funds invested by Shareholders by valuing (see also valuation) the company's various Assets after deduction of Liabilities. Net asset Value is an accounting and in some instances tax-related term, rather than a financial one. Synonymous with Book value of shareholders' equity.

(See Chapter 4 Capital employed and invested capital of the Vernimmen)

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