Each asset-inventory, plant, equipment, and so on-would be valued based on the selling price that would be realized if the firm chose to dispose of it is the definition of which of the following current value concepts?
A)Replacement cost
B) Entry price
C) Exit value
D) Discounted present value

Question

Each asset-inventory, plant, equipment, and so on-would be valued based on the selling price that would be realized if the firm chose to dispose of it is the definition of which of the following current value concepts? 
A)Replacement cost
B) Entry price
C) Exit value
D) Discounted present value

Quizplus · Accepted Answer

The definition given in the question is for exit value, which represents the selling price that would be realized if the firm chose to dispose of the asset. Replacement cost relates to the cost of replacing an asset with another similar asset. Entry price represents the cost of acquiring an asset at the time of acquisition. Discounted present value is not relevant to this definition.

Each Asset-Inventory, Plant, Equipment, and So On-Would Be Valued Based