The book value of an asset is calculated by taking the:

A) market value of the asset less its accumulated depreciation.
B) cost of the asset less its accumulated depreciation.
C) residual value of the asset less its accumulated depreciation.
D) salvage value of the asset less its accumulated depreciation.

Accumulated Depreciation

The total amount of depreciation expense that has been recorded against a fixed asset over its useful life to date.

Book Value

Represents the value of an asset according to its balance sheet account balance, calculated as the original cost less any depreciation, amortization, or impairment costs.

Salvage Value

The projected remaining value of an asset when it reaches the end of its operational lifespan.