INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement.
-Actual cash value (ACV)is calculated by subtracting depreciation from the [purchase price | replacement cost] of an item.
A)for the first item
B)for the second item
C)if neither item will correctly complete the statement.

Question

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. 
-Actual cash value (ACV)is calculated by subtracting depreciation from the [purchase price | replacement cost] of an item.
A)for the first item
B)for the second item
C)if neither item will correctly complete the statement.

Quizplus · Accepted Answer

Actual cash value (ACV) is calculated by subtracting depreciation from the replacement cost of an item, not the purchase price.

INSTRUCTIONS: Choose the Word or Phrase in [ ] Which