1. Let's start by defining the terms. 2. Salvage value is the estimated residual value of an asset at the end of its useful life. 3. Book value is the value of an asset recorded on the balance sheet, calculated as the original cost minus accumulated depreciation. 4. Important rule: Book value changes over time as depreciation accumulates, while salvage value is a fixed estimate. 5. Therefore, salvage value is not the same as book value; salvage value is a fixed estimate, and book value is a dynamic accounting measure. 6. In summary, salvage value is the expected final worth, and book value is the current recorded worth of the asset.