The carrying amount of an asset is equal to the
A) asset's fair value less its cost.
B) asset's cost less depreciation expense.
C) replacement cost of the asset.
D) asset's cost less accumulated depreciation.

Question

Quizplus · Accepted Answer

The carrying amount of an asset is calculated as the asset's cost less its accumulated depreciation. This reflects the asset's book value over time as it depreciates.

The Carrying Amount of an Asset Is Equal to the