Asset value refers to the market value or worth of an asset, which is typically determined by its potential future cash flows and earning capacity. In other words, it represents how much money an investor would be willing to pay for a particular asset based on its expected returns and growth opportunities. Asset values can fluctuate depending on various factors such as market conditions, economic trends, and industry performance. It is an important concept in finance and accounting, used to evaluate the financial health of companies or individuals by assessing their total assets minus any liabilities.