Valuation
ˌvæljuˈeɪʃən
Definitions
2 meaningsThe process of determining the monetary worth of an asset, company, or other item.
ˌvæljuˈeɪʃən
The process of determining the monetary worth of an asset or company.
The valuation of the startup was based on its potential for future growth.
💡 Simply: Imagine you want to sell your old toy. A valuation is like figuring out how much money someone would be willing to pay for it. It's about finding out the toy's worth.
👶 For kids: Figuring out how much something is worth.
More Examples
The bank performed a valuation to assess the collateral's value.
A professional valuation is often required for insurance purposes.
How It's Used
"The company hired an expert to conduct a valuation of its assets."
"The valuation of the property was significantly higher than its initial purchase price."
"The museum's valuation of the painting increased dramatically after it was restored."
The determined monetary worth of an asset, company, or other item.
ˌvæljuˈeɪʃən
An assessed monetary value of something.
The valuation of the company was set at $5 million.
💡 Simply: If you do the valuation of your toy, the number you get is the valuation.
👶 For kids: The number you get for how much something is worth.
More Examples
The property's valuation was disputed by the owner.
The valuation report detailed the reasons behind the assessed value.
How It's Used
"The valuation of the property was conducted on the sales of recent comparable properties."
"The valuation of the business was based on its earnings and assets."
Synonyms & Antonyms
Antonyms
From Old French *valuer* (to have worth) + -ation (suffix forming nouns of action, state, or result).
The term 'valuation' has been used in financial contexts for centuries, evolving alongside the development of markets and economic analysis.
Memory tip
Think of valuing something; it's putting a monetary value on it.
Word Origin
"To be strong; to have worth"