The fair value principle
A) is one of the two costing principles followed by the IASB.
B) is more useful than the historical cost principle for valuing some assets.
C) dictates that an asset should be valued at the price at which it could be sold.
D) All of these answer choices are correct.

Question

Quizplus · Accepted Answer

The fair value principle is one of the two costing principles followed by the IASB, and it is more useful than the historical cost principle for valuing some assets. The fair value principle also dictates that an asset should be valued at the price at which it could be sold. Therefore, all of these answer choices are correct.

The Fair Value Principle