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The fair value of an asset takes into account estimating the exit price between market...

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Question

Accounting

The fair value of an asset takes into account estimating the exit price between market participants. Which four of the following statements about the transactions and the market are correct?

Select one or more:

a. When deciding the most advantageous market the entity does consider transaction costs.

b. In the absence of evidence to the contrary the principal market is presumed to be the market in which the entity would normally enter into a transaction to sell the asset takes place in the most advantageous market.

c. An exit price implies the price received if the firm is forced to sell the asset.

d.

Fair value measurement assumes that the transaction to sell the asset takes place in the most advantageous market.

e.

When deciding the most advantageous market the entity does not consider transaction costs.

f.

The principal market is the market with the greatest volume and level of activity for the asset that can be accessed by the entity.

g.

Fair value measurement assumes that the transaction to sell the asset takes place in the principal market.

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