Asked by
shenamae solamo
on Nov 14, 2024
Verified
Accountants do not attempt to measure the change in a plant asset's fair value during ownership because
A) the assets are not held for resale.
B) plant assets cannot be sold.
C) losses would have to be recognized.
D) it is management's responsibility to determine fair values.
Fair Value
The price at which an asset would be bought or sold in a fair transaction between willing parties.
Resale
Resale refers to the action of selling a product or asset to another party after it has been bought, often used in the context of goods bought for the purpose of selling them at a profit.
- Evaluate the reasoning behind asset depreciation and the non-recognition of fair value changes during asset lifetime.
Verified Answer
CB
Learning Objectives
- Evaluate the reasoning behind asset depreciation and the non-recognition of fair value changes during asset lifetime.
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