Net Tangible Assets

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DEFINITION of 'Net Tangible Assets'

Calculated as the total assets of a company, minus any intangible assets such as goodwill, patents and trademarks, less all liabilities and the par value of preferred stock. Also known as "net asset value" or "book value".

INVESTOPEDIA EXPLAINS 'Net Tangible Assets'

To calculate a companies net asset value on a per bond, or per share of preferred or common stock, divide the net tangible assets figure by the number of bonds, shares of preferred stock, or shares of common stock.

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