assignment content\npage 13 of 20\nquestion 13\nresidual value is also known as all of the following…
assignment content\npage 13 of 20\nquestion 13\nresidual value is also known as all of the following except\na scrap value\nb trade - in value\nc salvage value\nd net book value
Answer
Brief Explanations:
- Scrap value: It is the value of an asset when it is no longer usable, similar to residual value.
- Trade - in value: This is the value given for an asset when it is traded in for a new one, which is related to the residual value concept.
- Salvage value: It represents the estimated value of an asset at the end of its useful life, equivalent to residual value.
- Net book value: It is calculated as the original cost of an asset minus accumulated depreciation. It is not the same as residual value. Residual value is an estimate of the asset's worth at the end of its useful life, while net book value is based on historical cost and depreciation.
Answer:
D. net book value