The carrying amount of an asset or liability at a given point in time, netted against the amount of the respective contra account. For example, the contra account of a fixed asset is the account of accumulated depreciation paired with that asset. Assume that a fixed asset has a recorded balance of CU 10,000, and its respective accumulated depreciation is CU 2,000. The net carrying amount of this asset is

Net carrying amount = CU 10,000 – 2,000 =CU 8,000

For a financial liability (e.g., a bond), the net carrying amount is the recorded balance, at a given moment, minus any amount payable relating to the liability (e.g., a discount). For instance, if the carrying amount of a bond is CU 50,000 and the discount payable is CU 5,000, then the bond’s net carrying amount is:

Net carrying amount = CU 50,000 – 5,000 = CU 45,000