What is Net Worth?

Net value, also known as depreciation value, refers to the balance of the original value of the fixed assets or the replacement of the full value minus the accumulated depreciation amount. The depreciated value reflects the current value of the fixed assets after wear and tear, and the actual amount of funds used; compared with the original value of the fixed assets, it shows the degree of new and old existing fixed assets and the general situation of the efficiency of their localization. [1]

net worth

Net value, also known as depreciation value, refers to the balance of the original value of the fixed assets or the replacement of the full value minus the accumulated depreciation amount. The depreciated value reflects the current value of the fixed asset after wear and tear, and the actual amount of funds used; compared with the original value of the fixed asset,
Total equity value of the company = company capital + legal provident fund + capital provident fund + special provident fund + accumulated surplus-accumulated losses
Net value per share = total net value / total number of shares issued
From the formula,
To put it simply: The total value of stock equity (the total amount gained from changes in the market economy after shareholders purchase the stock at the time of issuance) is an important basis for the company to choose the issue method and determine the issue price when issuing shares, and it is also the main parameter for investment analysis. [1]

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