The ultimate sales value of a long-term asset is referred to as its
A)residual value.
B)value in use.
C)net book value.
D)historical value.

Question

Quizplus · Accepted Answer

The residual value is the estimated amount that a company expects to receive when it disposes of a long-term asset at the end of its useful life. It represents the ultimate sales value of the asset. The other options, such as net book value and historical value, do not necessarily reflect the asset's ultimate sales value.

The Ultimate Sales Value of a Long-Term Asset Is Referred