Calculating the resale value involves several factors:
Initial Purchase Price: The original cost of the asset is a primary factor in determining its resale value. Depreciation: Depreciation methods, such as straight-line or declining balance, impact the reduction in value over time. Market Conditions: Market demand and supply conditions play a significant role in determining the resale value. Asset Condition: The physical and functional condition of the asset influences its resale value. Regular maintenance can improve this.