Enter the book value ($) and the salvage value ($) into the Sunk Cost Calculator. The calculator will evaluate and display the Sunk Cost.

## Sunk Cost Formula

The following formula is used to calculate the Sunk Cost.

SC = BV - SV
• Where BC is the Sunk Cost ($) • BV is the book value ($)
• SV is the salvage value ($) To calculate the sunk cost, subtract the salvage value from the book value. ## How to Calculate Sunk Cost? The following example problems outline how to calculate Sunk Cost. Example Problem #1: 1. First, determine the book value ($). The book value ($) is given as 142. 2. Next, determine the salvage value ($). The salvage value ($) is provided as 20. 3. Finally, calculate the Sunk Cost using the equation above: SC = BV – SV The values given above are inserted into the equation below: SC = 142 – 20 = 122 ($)

Example Problem #2:

The variables needed for this problem are provided below:

book value ($) = 750 salvage value ($) = 300

Entering these values and solving gives:

SC = 750 – 300 = 450 (\$)