BACHELOR OF BUSINESS ADMINISTRATION

Detailed explanation-1: -Scrap value is the worth of a physical asset’s individual components when the asset itself is deemed no longer usable. After a long-term asset-such as machinery, vehicle, or furniture-has gone through its useful life, it may be disposed of. Scrap value is also known as residual value, salvage value, or break-up value.

Detailed explanation-2: -Salvage value is the estimated book value of an asset after depreciation is complete, based on what a company expects to receive in exchange for the asset at the end of its useful life. As such, an asset’s estimated salvage value is an important component in the calculation of a depreciation schedule.

Detailed explanation-3: -Scrap Value vs Salvage Value Salvage value is defined as the value of a fixed or physical asset at the end of its useful life. Scrape value is the value of the dismantled material. That means after dismantle, we will get the steel, timber, metal etc.

Detailed explanation-4: -It is the value of dismantled material.