replacement costit is the cost of replacing a, Managerial Accounting

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replacement costit is the cost of replacing a

Replacement cost

It is the cost of replacing a material or asset, by purchase from the current market.

If an X material was originally purchased @ Rs. 250 per Kg. And know it can be replaced by the purchase from the market at the current rate of 280 per kg, the replacement cost is Rs. 280 per Kg.

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