What Is a Net Book Value?

The net book value is the balance of the original value of the asset minus the accumulated depreciation (or accumulated amortization) that has been accrued.

Book value

Right!

The net book value is the original value of the asset minus the accumulated accrual

Correct

As an example, the period-end accounting books show:

Debit balance of fixed assets: 5 million yuan

Credit balance of accumulated depreciation account: 3 million yuan

Credit balance of provision for impairment of fixed assets: 500,000 yuan

then:

Book balance of fixed assets = 5 million yuan

Net book value of fixed assets = 500-300 = 2 million yuan

Book value of fixed assets = 500-300-50 = 1.5 million yuan