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Question 60 - CIS-HAM discussion

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How do you calculate residual value?

A.
Subtract the amortized value from the cost of the asset
Answers
A.
Subtract the amortized value from the cost of the asset
B.
Subtract storage and lease cost from the cost of the asset
Answers
B.
Subtract storage and lease cost from the cost of the asset
C.
Subtract the depreciation from the cost of the asset
Answers
C.
Subtract the depreciation from the cost of the asset
D.
Subtract the salvage value from the cost of the asset
Answers
D.
Subtract the salvage value from the cost of the asset
Suggested answer: C

Explanation:

According to theHardware Asset Management documentation, residual value is the estimated value of an asset at the end of its useful life.

Residual value is calculated by subtracting the depreciation from the cost of the asset, as stated in theHardware Asset Management documentation: ''Residual value = Cost - Depreciation''.

Depreciation is the amount of value that an asset loses over time due to wear and tear, obsolescence, or other factors.

Therefore, the correct answer is option C, subtract the depreciation from the cost of the asset.Reference:

Hardware Asset Management documentation

What is Hardware Asset Management?

asked 23/09/2024
Scott Whitney
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