Final answer:
The question tackles how to determine the gain or loss on a plant asset disposal by comparing the original cost with the cash and other assets received, an application of present discounted value in financial decision-making.
Step-by-step explanation:
The question relates to determining the gain or loss on the disposal of a plant asset, which involves comparing the asset's original cost with the cash received and any other assets received from the disposal. In the context of present discounted value, this financial concept is used to evaluate the worth of future cash flows in today's terms, influencing decisions on capital investments, government spending, environmental policies, and personal finances. Present discounted value considers the time value of money, enabling businesses and individuals to weigh the present costs against future benefits in a cost/benefit analysis.