The book value of a machine, as shown on the balance sheet, is not relevant in a decision concerning the replacement of that machine by another machine: TRUE
<h3>
What is the book value?</h3>
- Book value is the worth of an asset based on its balance sheet account balance in accounting.
- The value of an asset is determined by subtracting the asset's original cost from any depreciation, amortization, or impairment expenses.
- Traditionally, a company's book value is equal to its total assets minus intangible assets and liabilities.
- In practice, however, depending on the source of the computation, book value may include either goodwill or intangible assets, or both.
- The value inherent in its employees, which is part of a company's intellectual capital, is always overlooked.
- When intangible assets and goodwill are specifically omitted, the indicator is frequently defined as "tangible book value."
Therefore, the statement "the book value of a machine, as shown on the balance sheet, is not relevant in a decision concerning the replacement of that machine by another machine" is TRUE.
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Complete question:
The book value of a machine, as shown on the balance sheet, is not relevant in a decision concerning the replacement of that machine by another machine. (Ignore taxes.) TRUE or FALSE
They move because of convection currents in the mantle
It turns chemical into electricity
The correct answer is A, B and C
