D is corrent. The requirement is to identify the name of the reporting concept that is defined as the equivalent that would have to be paid if the same or equivalent assets were acquired. D is corrent because accounting standards define current replacement cost, as the amount of cash, or its equivalent, that would have to be paid if the same or an equivalent asset were acquired currently.
A is incorrect because historical cost is the price paid for the asset.
B is incorrect because net realizable value is the nondiscounted amount of cash, or its equivalent, into which an asset is expected to be converted in due course of the business less direct costs, if any, necessary to make that conversion.
C is incorrect because current market value is defined by ASC Topic 820 as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date, which is an exit cost.
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