Eventually, an asset will reach the end of its serviceable life. When it does, a company might choose to sell it. Whatever the company can get for it at that time is its salvage value. It’s the ...

Julia Kagan is a financial/consumer journalist and former senior editor, personal finance, of Investopedia. Thomas J. Brock is a CFA and CPA with more than 20 years of experience in various areas ...

Depreciation is the loss in value that naturally occurs as an object is put to use or ages. The total depreciated value of an item is the value of that item once you take depreciation into ...

Salvage value refers to the value of an item when a company can no longer use it. An item can be disposed of when it is no longer usable, in which case it would have a low salvage value. If it's ...