What Does Tangible Net Worth Mean?
A measure of the physical worth of a company minus any value derived from intangible assets such as copyrights, patents, and intellectual property. Tangible net worth is calculated by taking a firm's total tangible assets and subtracting the value of all liabilities and intangible assets. Tangible net worth is calculated as shown here:
Investopedia explains Tangible Net Worth
In personal finance, tangible net worth is the sum of all of a person's tangible assets (cash, home, cars, etc.) minus any liabilities that person may have. In the financial markets, tangible net worth represents the amount of physical assets a company has net of its liabilities. Thus, it represents the liquidation proceeds a company would fetch if it shut down and sold off all its assets.
Related Terms:
• Intangible Assets
• Liquidity
• Net Tangible Assets
• Net Worth
• Tangible Asset
Want to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit the webmaster's page for free fun content.
| ?Page tools | ||
|---|---|---|
|