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Tuesday, May 16, 2023

05-15-2023-2310 - historical cost (accounting)

In accounting, an economic item's historical cost is the original nominal monetary value of that item.[1] Historical cost accounting involves reporting assets and liabilities at their historical costs, which are not updated for changes in the items' values. Consequently, the amounts reported for these balance sheet items often differ from their current economic or market values. 

https://en.wikipedia.org/wiki/Historical_cost

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