market value
Học thuậtThân thiện
Definition
- Noun:
- The price determined by open market transactions: "market value" refers to the current price at which an asset, security, or commodity would trade in a competitive, public auction setting between willing and knowledgeable buyers and sellers.
- Fair value in an open market: It represents the estimated amount for which an item should exchange on the valuation date between a willing buyer and a willing seller in an arm's length transaction.
Usage Examples
- Noun:
- The house's market value has increased significantly this year.
- Investors are concerned that the stock is trading below its true market value.
- The tax assessment is based on the property's estimated market value.
Advanced Usage
- "to be at/above/below market value": used to compare a specific price to the general market valuation.
- The collector bought the painting for a price well below its estimated market value.
- "to determine/assess/establish market value": refers to the process of finding or setting this price.
- An appraiser was hired to determine the market value of the business assets.
Variants and Related Words
- Market capitalization (market cap) (n): The total market value of a company's outstanding shares of stock. (Note: This is a related financial term, not a variant of "market value").
- Fair market value (FMV) (n): A legal and accounting term synonymous with market value, often used in contracts and tax contexts.
Synonyms
- Fair market price: The price agreed upon in an open and fair market.
- Current market price: The prevailing price at which something is being bought and sold.
Related Phrases
- Market value adjustment (MVA): A financial term for a penalty applied to the cash value of an annuity or insurance product if surrendered early in a changing interest rate environment. (Note: This is a related financial phrase).
- Market value decline: A decrease in the estimated selling price of an asset.
Related Concepts
- Book value: The value of an asset according to its balance sheet account balance, which may differ from its market value.
- Appraised value: An expert's estimation of an item's value, which aims to reflect its market value.
Noun
- the price at which buyers and sellers trade the item in an open marketplace