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Actual Cash Value (ACV) Calculator

Formulas

The formula used in the calculations is:

$\text{ACV} = \text{purchase price} \times \frac{\text{expected life} - \text{current life}}{\text{expected life}}$

This calculator computes the actual cash value (ACV) of an asset based on the input values of purchase price, expected life, and current life.

Let's assume the following:

Calculate the actual cash value (ACV):

$\text{ACV} = 250,000 \times \frac{10 - 3}{10} = 250,000 \times 0.7 = 175,000$

Therefore, the actual cash value (ACV) of the car is $175,000.