What is meant by the term carrying value of an asset?

The carrying value of an asset refers to its value on the balance sheet, which includes the cost of acquiring the asset minus any accumulated depreciation and impairment losses. This measurement reflects the remaining value of the asset that has not yet been consumed or utilized in the business's operations, along with any residual value that the asset might have at the end of its useful life.

In this context, the correct choice effectively captures the essence of what carrying value represents in accounting. It highlights how carrying value is a measure of the non-current asset's remaining value that has yet to be consumed, thus directly correlating to how much longer the asset can be utilized and its eventual value upon disposal.

Other options do not accurately define carrying value. While the total value of an asset at the time of purchase represents its historical cost, it does not consider depreciation or changes in value over time. The idea of an asset's sellable price at any moment implies a market value, which can fluctuate and does not reflect the systematic valuation of the asset on the balance sheet. Describing accumulated depreciation alone misses the broader context of how that figure relates to the overall valuation of the asset, which includes remaining usable value and any anticipated residual value.