Under IFRS, the term for the value at which an asset is carried on the balance sheet is carrying amount.
The carrying amount is the recognized accounting amount at a reporting date, after applying the relevant measurement rules. For property, plant and equipment, it commonly starts with cost and is reduced by accumulated depreciation and impairment losses. Under a revaluation model, later increases or decreases can also affect the reported amount.
Carrying amount is not automatically the same as fair value. Fair value reflects an exit price in an orderly market transaction, whereas carrying amount reflects the accounting measurement basis required by the applicable IFRS Standard. Similarly, net realizable value is mainly associated with inventory measurement and is not the general name for an asset’s balance-sheet amount.
“Carrying value” and “book value” are widely used as near-synonyms in general accounting discussion, but carrying amount is the preferred IFRS wording. If an asset’s carrying amount exceeds its recoverable amount, IAS 36 generally requires recognition of an impairment loss, reducing the amount reported.