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Book Value for New Machine Formula

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Book Value refers to the value of machine which includes cost of equipment, taxes, insurance and carriage charge. Check FAQs

C bv = \frac{D h \cdot L s}{0.9}

C_bv - Book Value?D_h - Hourly Depreciation?L_s - Life Span?

Book Value for New Machine Example

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Here is how the Book Value for New Machine equation looks like with Values.

Here is how the Book Value for New Machine equation looks like with Units.

Here is how the Book Value for New Machine equation looks like.

4002 = \frac{20.01 \cdot 180}{0.9}

4002 = \frac{20.01 \cdot 180h}{0.9}

4002 = \frac{20.01 \cdot 180}{0.9}

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Book Value for New Machine Solution

Follow our step by step solution on how to calculate Book Value for New Machine?

FIRST Step Consider the formula

C bv = \frac{D h \cdot L s}{0.9}

Next Step Substitute values of Variables

∴

C bv = \frac{20.01 \cdot 180h}{0.9}

Next Step Prepare to Evaluate

∴

C bv = \frac{20.01 \cdot 180}{0.9}

LAST Step Evaluate

∴

C bv = 4002

Book Value for New Machine Formula Elements

Variables

Book Value

Book Value refers to the value of machine which includes cost of equipment, taxes, insurance and carriage charge.

Symbol: C_bv

Measurement: NAUnit: Unitless

Note: Value should be greater than 0.

Formulas to find Book Value

Hourly Depreciation

Hourly Depreciation is the depreciation value of new machines chargeable to the work on an hourly basis.

Symbol: D_h

Measurement: NAUnit: Unitless

Note: Value should be greater than 0.

Formulas to find Hourly Depreciation

Life Span

Life Span (in Hours) refers to the usage period or total life of a machine.

Symbol: L_s

Measurement: TimeUnit: h

Note: Value should be greater than 0.

Formulas to find Life Span

Other formulas in Management of Construction Equipment category

Go Hourly Depreciation

D h = 0.9 \cdot \frac{C bv}{L s}

Go Life Span of Machine

L s = 0.9 \cdot \frac{C bv}{D h}

Go Average Investment when Salvage value is 0

I a = (\frac{1 + n}{2 \cdot n}) \cdot P Capital

Go Capital Cost when Salvage Value is 0

P Capital = \frac{2 \cdot n \cdot I a}{1 + n}

How to Evaluate Book Value for New Machine?

Book Value for New Machine evaluator uses Book Value = (Hourly Depreciation*Life Span)/0.9 to evaluate the Book Value, The Book Value for New Machine formula is defined as the value which is originally decided for the machine. The book values of assets are routinely compared to market values as part of various financial analyses. Book Value is denoted by C_bv symbol.

How to evaluate Book Value for New Machine using this online evaluator? To use this online evaluator for Book Value for New Machine, enter Hourly Depreciation (D_h) & Life Span (L_s) and hit the calculate button.

FAQs on Book Value for New Machine

What is the formula to find Book Value for New Machine?

The formula of Book Value for New Machine is expressed as Book Value = (Hourly Depreciation*Life Span)/0.9. Here is an example- 4000 = (20.01*648000)/0.9.

How to calculate Book Value for New Machine?

With Hourly Depreciation (D_h) & Life Span (L_s) we can find Book Value for New Machine using the formula - Book Value = (Hourly Depreciation*Life Span)/0.9.

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Book Value for New Machine Formula

Book Value for New Machine Example

Book Value for New Machine Solution

Book Value for New Machine Formula Elements

Other formulas in Management of Construction Equipment category

How to Evaluate Book Value for New Machine?

FAQs on Book Value for New Machine

Variable Name