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LSDefine

Simple English definitions for legal terms

net realizable value

Read a random definition: aleatory contract

A quick definition of net realizable value:

Net Realizable Value: Net Realizable Value is a term used in accounting to determine the expected cash amount from the collection of customer balances or the selling price of inventory after completion and disposal costs are deducted. It is also an accounting method that considers the value of scrap or by-products as a reduction in the cost of primary products.

A more thorough explanation:

Definition: Net realizable value refers to the amount of cash that a company expects to receive from the sale of its inventory or the collection of its accounts receivable. It is calculated by subtracting any costs associated with completing and disposing of the inventory or collecting the receivables from the selling price.

Examples:

  • Accounts Receivable: A company has $10,000 in accounts receivable from its customers. After reviewing the accounts, the company estimates that it will only be able to collect $9,000. Therefore, the net realizable value of the accounts receivable is $9,000.
  • Inventory: A company has 100 units of a product in inventory. The selling price of each unit is $50. However, it will cost the company $5 per unit to complete and dispose of the inventory. Therefore, the net realizable value of the inventory is $45 per unit.

These examples illustrate how net realizable value is calculated by subtracting any costs associated with completing and disposing of inventory or collecting accounts receivable from the selling price. This calculation gives a more accurate picture of the value of these assets to the company.

net quick assets | net rent

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got a random stanford email and almost had a heart attack
ALSO CONGRATS!
Congrats1!
21:15
Miami A, yall I'm so excited I could cry.
21:15
Feel like I can finally stop holding my breath!! Whew!!!
[] baddestbunny
22:16
every time I get accosted by a strange man who follows me around because my male coworkers were too busy talking to walk me back to my car I get closer to saying we need to bring back traditional gender roles
Dkk
22:32
Nice! @Macaque
Dkk
22:32
@Aromatic, Have to guess.
Dkk
22:33
That sucks @Bunny do you have to go to the hospital?
[] baddestbunny
22:40
I said accosted not assaulted
23:35
guys. my notre dame address just went long is this good or bad
1a2b3c4d26z
23:37
Oooooo me too
23:37
omg is this good or bad
Dkk
23:47
Idk if gender roles are gunna fix that then.
23:49
it looks like most people who applied in october last cycle didn't get a decision until january... does it even mean anything that our addresses went long??
hows ED 2 compared to ED 1?
Dkk
0:10
No idea
windyMagician
0:34
reporting live to say my ndls address also went long
does it mean anything ^
Dkk
2:21
NDLS and Fordham took a very long time last year. It's good info for people to know.
[] baddestbunny
4:29
let’s get after it boys and girls
Dkk
5:21
I gtg to bed soon.
Dkk
5:22
Big day today. Gunna be a crazy one. I will sleep through the first half.
good morning lsd it is 5 am EST
also jazzy my ndls address went long ages ago i sadly do not think it means anything
my stanford address also went long LOL i think at most it's an indicator it's under review
WorthlessAttractiveZombie
7:44
My berkeley paragraph finally disappeared. I definitely think it is just an indicator that they are actively reviewing files, and does not mean anything about A, WL, or Rs
WorthlessAttractiveZombie
7:46
Also has anyone's date disappeared for W&L? Mine did last night
7:55
@WorthlessAttractiveZombie: mine did yesterday morning
7:56
Oops sorry I meant Vilanova. Mine disappeared last week
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