Accountants record assets at
A)acquisition cost
B)the present value of the future net cash flows based on estimated receipts and operating expenses
C)current economic value
D)current replacement cost
E)appraised value

Question

Quizplus · Accepted Answer

According to generally accepted accounting principles (GAAP), assets are recorded at their acquisition cost, which represents the amount paid to acquire or construct an asset. This cost includes all necessary expenses to bring the asset into its existing condition and location for its intended use. Other options such as future net cash flows or current economic value may be used for specialized purposes or in certain industries, but acquisition cost is the primary basis for recording assets on the balance sheet.

Accountants Record Assets at