Net Assets, calculated as total assets less total liabilities represents the equity of owners of the business entity. In business valuation analysis, the net assets can be adjusted and applied to determine the fair market value of a business. The adjustments typically involve revaluation of fixed assets from book value to fair market value, exclusion of non-operation assets, valuation of intangible assets, and adjustment of current assets and current liabilities. By applying the Net Asset Value (NAV) method, business valuators estimate the adjusted book value as a representation of the fair market value of the business.