Residual value is the:A) estimated value of the asset when it is purchased.B) estimated value of the asset at the end of its useful life.C) cost of the asset.D) same as book value.

Question

Residual value is the:A)  estimated value of the asset when it is purchased.B)  estimated value of the asset at the end of its useful life.C)  cost of the asset.D)  same as book value.

Simply Simple · Accepted Answer

Final Answer : B, Explanation :  Residual value is the estimated value of an asset at the end of its useful life. It represents what the asset is expected to be worth after it has been fully used and can no longer serve its primary purpose.

Residual value is the:

A) estimated value of the asset when it is purchased.
B) estimated value of the asset at the end of its useful life.
C) cost of the asset.
D) same as book value.

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