Residual value is also known as all of the following except

A) scrap value
B) trade-in value
C) salvage value
D) net book value

Question

Residual value is also known as all of the following exceptA) scrap valueB) trade-in valueC) salvage valueD) net book value

Jatika Whitaker · Accepted Answer

Final Answer : D, Explanation :  Residual value is not the same as net book value, which refers to the value of an asset on a company's balance sheet after depreciation has been taken into account. Residual value, on the other hand, refers to the estimated value of an asset at the end of its useful life, and is often used to calculate lease payments or depreciation expense. Scrap value, trade-in value, and salvage value are all other terms used to describe residual value.

Residual value is also known as all of the following except

A) scrap value
B) trade-in value
C) salvage value
D) net book value

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