Which of the following is the cost of purchasing an asset today identical to the one currently held?
A)Past cost.
B)Current cost.
C)Future cost.
D)Optimal cost.
E)Suboptimal cost.

Question

Quizplus · Accepted Answer

The cost of purchasing an asset today identical to the one currently held is the current cost. This refers to the price that the asset is currently being traded at in the market. The past cost would be the cost incurred when the asset was originally purchased, which is irrelevant at this point. The future cost would be the expected cost of purchasing the asset at a later date, which is uncertain and cannot be determined accurately. Optimal and suboptimal costs refer to costs that are most efficient or least efficient in achieving a particular objective, and are not relevant in this context.

Which of the Following Is the Cost of Purchasing an Asset