Written-Down Value

Dictionary Says

Definition of 'Written-Down Value'


The value of an asset after accounting for depreciation or amortization. Written-down value is also called book value or net book value. It is calculated by subtracting accumulated depreciation or amortization from the asset's original value. Written-down value reflects the asset's present worth from an accounting perspective. An asset's written-down value will appear on the company's balance sheet.



Investopedia Says

Investopedia explains 'Written-Down Value'


Written-down value can be calculated by a method of depreciation that is sometimes called the diminishing balance method. This accounting technique reduces the value of an asset by a set percentage each year. Different depreciation techniques are used to capitalize the expenses of different types of assets. The taxable gain on a sale is often determined by comparing the sales from the item to its written-down value. When an asset is intangible, such as a patent, it is amortized rather than depreciated.



comments powered by Disqus
Hot Definitions
  1. Valuation

    The process of determining the current worth of an asset or company. There are many techniques that can be used to determine value, some are subjective and others are objective.
  2. Valuation

    The process of determining the current worth of an asset or company. There are many techniques that can be used to determine value, some are subjective and others are objective.
  3. Tech Street

    A term used in the financial markets and the press to refer to the technology sector. Companies like Intel, Microsoft, Apple and Dell are all considered to be part of Tech Street.
  4. Tech Street

    A term used in the financial markets and the press to refer to the technology sector. Companies like Intel, Microsoft, Apple and Dell are all considered to be part of Tech Street.
  5. Momentum Investing

    An investment strategy that aims to capitalize on the continuance of existing trends in the market. The momentum investor believes that large increases in the price of a security will be followed by additional gains and vice versa for declining values.
  6. Momentum Investing

    An investment strategy that aims to capitalize on the continuance of existing trends in the market. The momentum investor believes that large increases in the price of a security will be followed by additional gains and vice versa for declining values.
Trading Center