What method of fixed asset valuation would most likely be used in countries that regularly experience high rates of inflation?

Question

Quizplus · Accepted Answer

In countries that regularly experience high rates of inflation, it is difficult to accurately value assets based on historical cost or net realizable value at subsequent balance sheet dates. Fair value would be the most appropriate valuation method in this scenario, as it would reflect the current market value of the asset, which would account for inflation. Net present value at subsequent balance sheet dates may also be used, but it is more commonly applied to long-term investments rather than fixed assets.

What Method of Fixed Asset Valuation Would Most Likely Be