Replacement Cost
REPLACEMENT COST
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Under generally accepted
principles, the value of a company's assets is based on its
historical costs. The present book value of an asset is determined by its
acquisition, or historical, cost, less any
depreciation.
A company's
will reflect this, usually valuing its assets at their present book
Replacement costs provide an alternative way of valuing a company's
assets. The replacement, or current, cost of an asset is the amount of
money required to replace the asset by purchasing a similar asset with
identical future service capabilities. In replacement cost accounting,
assets and
are valued at their cost to replace.
If replacement costs are used to establish the value of assets, then the
replacement method of depreciation is also used to adjust the value of an
asset as it is used over time. Under the replacement method of
depreciation, an anticipated replacement cost for the asset is estimated.
The depreciation expense is then calculated as the sum of the depreciation
based on the historical cost, plus a percentage of the difference between
the historical cost and the replacement cost. Using the replacement
method, the depreciation expense associated with an asset is based on a
combination of its historical cost and its replacement cost.
When an acquiring company seeks to obtain an estimate of a target
company's value before making a purchase offer, the replacement
costs of the company's assets often provide a more accurate value
than does the present book value of the assets. The value of an asset is
intended to reflect its earnings potential. Present book value, calculated
on the basis of historical costs and depreciation, does not take into
account such factors as
inflation,
for example. Replacement costs, on the other hand, are more likely to
accurately reflect
that can affect the value of a company's assets.
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Selecting the column configuration with lowest media replacement cost for small adsorption systems.与最低的媒体选择列配置小型吸附系统的重置成本
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Selecting the column configuration with lowest media replacement cost for small adsorption systems.与最低的媒体选择列配置小型吸附系统的重置成本
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3秒自动关闭窗口这句英文该怎么理解?the economic profit is best approximated by using the replacement cost of inventory items thkx!
妙恋wan12808
利用清单项目的替代成本,经济利润将达到最接近的水平.
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经济效益是靠投资的替代成本一起来估算的
采用库存货物的替代价值估算是最接近经济利润的。（自己翻译的，仅供参考o(∩_∩)o...）
经济利润通过使用替换存货成本最好接近项目thkx!
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