When a company wants to place a value on a physical asset for its balance sheet,it must
A) reduce the value by the amount the asset has depreciated.
B) auction the asset off.
C) ask its competitors what the asset is worth.
D) price a new one.
E) increase the value by the amount the asset has appreciated.

Question

Quizplus · Accepted Answer

A physical asset must be depreciated over the expected life of the asset in which every year the value of the asset will decrease.

When a Company Wants to Place a Value on a Physical