What asset valuation technique is used by considering the replacement cost today minus depreciation?

The cost approach is the correct asset valuation technique that involves assessing the current replacement cost of an asset and then subtracting depreciation to determine its value. This method is particularly useful for valuing assets that do not have an active market or are unique in nature. By calculating what it would cost to replace the asset today with a similar one, and then deducting the amount that reflects the asset's wear and tear or obsolescence over time, the cost approach provides a clear picture of the asset's current value.

This technique is often used for property appraisals or when valuing specialized equipment. It emphasizes the fundamental principle that the value of an asset should not exceed the cost to replace it. In short, it focuses on the cost side of asset valuation, leading to a precise and realistic assessment based on tangible expenditure. The other options, while valid valuation methods, do not utilize this specific calculation of replacement cost minus depreciation.