Reference Entry

replacement cost

Jonathan Law

in A Dictionary of Business and Management

Fifth edition

Published in print January 2009 | ISBN: 9780199234899
Published online January 2009 | e-ISBN: 9780191726545
replacement cost

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The cost of replacing an asset, either in its present physical form or as the cost of obtaining equivalent services. If the latter is lower in amount than the former, the conclusion is that the assets currently used by the company are not those it would choose to acquire in the market place. Replacement cost may be used to value tangible ...

Reference Entry.  76 words. 

Subjects: Business and Management

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