When evaluating whether to lease or sell an equipment, book value is considered to be the cost of selling the equipment.

Question

Quizplus · Accepted Answer

Book value represents the value of an asset on a company's balance sheet and it may not accurately reflect the cost of selling the equipment. Other factors such as depreciation, market demand, and maintenance costs should also be considered when deciding whether to lease or sell an equipment.

When Evaluating Whether to Lease or Sell an Equipment, Book