Cost value is the amount of the consideration that would be agreed upon in an arm's-length transaction between knowledgeable, willing parties who are under no compulsion to act.

Question

Quizplus · Accepted Answer

Cost value refers to the amount originally paid for an asset, not the amount that would be agreed upon in an arm's-length transaction. The description given is more accurate for fair market value.

Cost Value Is the Amount of the Consideration That Would