Enter the replacement value ($) and the total depreciation ($) into the Calculator. The calculator will evaluate the Indemnity Value.

## Indemnity Value Formula

IV = RV - D

Variables:

- IV is the Indemnity Value ($)
- RV is the replacement value ($)
- D is the total depreciation ($)

To calculate Indemnity Value, subtract the total depreciation from the replacement value.

## How to Calculate Indemnity Value?

The following steps outline how to calculate the Indemnity Value.

- First, determine the replacement value ($).
- Next, determine the total depreciation ($).
- Next, gather the formula from above = IV = RV – D.
- Finally, calculate the Indemnity Value.
- After inserting the variables and calculating the result, check your answer with the calculator above.

**Example Problem : **

Use the following variables as an example problem to test your knowledge.

replacement value ($) = 3000

total depreciation ($) = 2000