Which of the following is true of investment value as a standard of valuation?
A) Investment value is usually lesser fair value.
B) Investment value is usually lesser than fair market value.
C) Investment value is usually greater than book value.
D) Investment value is usually greater than fair value.

Question

Quizplus · Accepted Answer

Investment value refers to the value of an asset to a particular investor or buyer. It may be greater than the fair market value, as it reflects the specific investor's assessment of the asset's potential for generating returns. Therefore, option D is the correct answer. Options A, B, and C are incorrect as they suggest that investment value is generally lower than fair value, fair market value, and book value, which is not necessarily true.

Which of the Following Is True of Investment Value as a Standard