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A. Company life refers to the time one asset will be supplied by a company and physics life advert to exactly how long the asset will last.
The significant difference between the organization life of an asset and its physical life is thatA. Company life refers to the time one asset will be provided by a firm and physical life refers to exactly how long the asset will last.B. Physical life is the life that an legacy without consideration of rescue value and also service life needs the use of rescue value.C. Physical life is constantly longer than service life.D. Service life refers to the size of time an asset is of use to its original owner, while physical life ad to how long the asset will be supplied by all owners.
Total depreciation over an asset"s life can not exceed an amount equal to price minus approximated salvage value.TrueFalse
n computing partial-year depreciation, depreciation is normally computed on the basis of:A. The nearest full month.B. A fifty percent year"s depreciation in the period of acquisition and disposal.C. A complete year"s depreciation in the duration of acquisition and none in the year of disposal.D. The nearest portion of a year.
Unless otherwise stipulated, depreciation is usually computed ~ above the communication of:A. A full year"s depreciation in the period of acquisition, no one in the duration of disposal.B. The nearest fraction of a year.C. The nearest complete month.D. A half-year"s depreciation in the period of acquisition and also in the duration of disposal.
Which that the complying with principles finest describes the theoretical rationale for the methods of equivalent depreciation cost with revenues?A. Link cause and effectB. Systematic and rational allocationC. Immediate recognitionD. Partial recognition
A major objection to the straight-line technique of depreciation is that itA. Often tends to an outcome in a continuous rate that return on a diminishing investment base.B. Offers smaller regular write-offs than decreasing charge methods.C. Offers for the declining productivity of one aging asset.D. Ignores sport in the price of heritage use.
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Which one of the following is not an sped up depreciation method?A. Declining-balance method.B. Sum-of-the years" digits method.C. Task method.D. Double-declining-balance method
hen is the reconstruction of an handicap loss permitted?A. On heritage that have been that have currently been disposed.B. ~ above assets organized for use.C. On legacy being held for disposal.D. On every tangible legacy whether hosted for usage of disposal.