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Home Accounting Dictionary Letter A Annual Value Definition
 
 

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Annual Value Definition:

The annual value of an asset, whether it be real property such as house or land etc., personal property such as business interest or a share portfolio, is the amount that accrues annually by right of ownership.

A distinction is normally made between gross annual value and net annual value. Gross annual value is before the deduction of the expenses incurred by the ownership and the net annual value is after the deduction of these expenses. So, no asset has a fixed annual return normally because the the expenses normally fluctuate.

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