Market-based exit price-FV question

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  • #1963767
    gamer
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    Can someone explain why the answer is transportation cost but not transaction cost?
    Question:
    In determining the fair value of an asset in the most advantageous market, the market-based exit price should be adjusted for?
    1. transaction cost. 2. transportation cost

    answer is 2: the market-based exit price would be adjusted for transportation cost to get the asset to the principal or most advantageous market.

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