framework

also pls explain the meaning of current cost

Thread Starter

Sushmita Chowdhury

CA Inter

★ 2K+

19-Jun-24 08:53

like what is the diff between current cost n relaisable value

Thread Starter

Sushmita Chowdhury

CA Inter

★ 2K+

19-Jun-24 08:54

Realizable value of an asset is the amount of money you're expected to receive via selling the asset after its life

Dhakshana Dhakshana

CFA L2

★ 18K+

19-Jun-24 16:08

Marginal cost is the cost you incurre for selling an additional product it is same as variable cost As the unit increases marginal cost also increases (direct correlation btw units produced and MC) I might be wrong you can double check for clarity

Dhakshana Dhakshana

CFA L2

★ 18K+

19-Jun-24 16:13

Current cost is the cost that would be required to replace an asset in the current period. Realizable value is the net amount of money that you will get from selling one of the asset.

Likith kumar Duganapalli

Moderator

20-Jun-24 09:16

Is Realizable value and NRV the same?

Dhakshana Dhakshana

CFA L2

★ 18K+

20-Jun-24 09:31

yes

Likith kumar Duganapalli

Moderator

20-Jun-24 09:43

Machine purchased 10yrs before, today machine WDV rs100 New machine cost rs500 Co don’t want to replace the machine, want to continue production If this old machine is sold rs150 can be realised Among all these which amount is current cost

Thread Starter

Sushmita Chowdhury

CA Inter

★ 2K+

20-Jun-24 11:05

It is 100

Likith kumar Duganapalli

Moderator

21-Jun-24 09:03