Value is entirely subjective.
What may seem fair and equitable to you may not be so to someone else.
You may pay many millions for a painting or other work of art. Other people would not be willing to do so. Given the wherewithal.
A computer or TV may be worth 1000 (of whatever your currency is). To you.
Other people have different priorities.
Market value is what you can reasonably sell something for.
The appraised value is supposed to arrive at fair market value. Remember that property owned by a decedent gets a new basis, which is equal to the value as of the date of death. When a buyer purchases the property for its value, there is no capital gain or loss. If the buyer pays less than fair market value, then you can simply allocate the difference between FMV and the purchase price to the buyer's share of the estate.
Pasong Langka, Cavite
That is a good question that a lot of people get confused about. In accounting, assets are recorded on your books at cost (what you paid for them). That value (less any accumulated depreciation or impairment expense) is your book value. That is, your book value is based on what you paid for the asset as opposed to it's market value. A market value (fair value) is what that asset would sell for on the open market if you attempted to sell it. This is a very subjective judgment, which is the main reason accountants don't usually report assets at market value in the United States (there are some exceptions in relation to securities). A price is what an asset actually is being sold for. Price and market value are usually the same thing, but sometimes factors make price higher or lower than market value. This is usually as a result of government regulations, or company pricing policies.
One of the key factors that can change the market and fair value of fixed rate notes and bonds is an increase or decrease in market interest rates. Even though a bond has a fixed rate, it's value is dependent on current yields in the market and the value of the bond will move inversely to interest rate changes.
The value of stock represents a fair value of an underlying company as perceived by market participants, mostly driven by expectations of future earnings growth.
Home equity is defined as the difference between the fair market value and any liens on the home.
Book value of asset is the value of asset shown in books of accounts while fair value of asset is the current price at which that product is selling or sellable in market.
The fair market value is the price at which a product or service would be sold between a willing buyer and a willing seller in an open market. Preferred price, on the other hand, is a price that is set by the seller based on their own criteria, such as cost, profit margin, or brand positioning. The preferred price may not always align with the fair market value.
Home equity is the unlimited interest of one's property as listed on the market. It's the difference between the home's fair market value and the balance owed on the liens that are on the property.
The fair market value of donated items is the estimated price they would sell for in a transaction between a willing buyer and seller, considering their condition and market demand.
Your equity in your house is the difference between what the house is worth, the fair market value, and how much you owe on it.
$80,000
The fair market value (FMV) is the price at which a product or service would be sold between a willing buyer and a willing seller in a competitive market. The preferred price, on the other hand, is the price set by the seller based on factors like brand reputation, exclusivity, or customer demand, which may be higher or lower than the FMV.
Yes. The insurance policy is a contract. All it requires the insurance company to do is to pay the fair market value of the vehicle. You would need to get what is called gap insurance to pay the difference between the market value and the loan value.
The appraised value is supposed to arrive at fair market value. Remember that property owned by a decedent gets a new basis, which is equal to the value as of the date of death. When a buyer purchases the property for its value, there is no capital gain or loss. If the buyer pays less than fair market value, then you can simply allocate the difference between FMV and the purchase price to the buyer's share of the estate.
You can look on the internet to find the fair market value for trucks and other vehicles. You can also pick up a book listing the Fair market value in a store. Usually these are free.
securities that are made of different stocks