Question

It is on the basis of going concern concept that the asset are valued at market price

Answer 1

Answer:

A N S W E R

Explanation:

When a company is acquired, the purchase price is typically based on its going-concern value. This means that a company being acquired can charge a pricing premium that is higher than the value of its assets and takes into account the value of its future profitability, intangible assets, and goodwill.