The cost of an asset and its fair value are

Asked by admin @ 28/10/2021 in Business viewed by 241 People

Depreciation is the process of:

a. valuing an asset at its fair value.
b. increasing the value of an asset over its useful life in a rational and systematic manner.
c. allocating the cost of an asset to expense over its useful life in a rational and systematic manner.
d. writing down an asset to its real value each accounting period

Answered by admin @ 28/10/2021

Answer:

The answer is c. allocating the cost of an asset to expense over its useful life in a rational and systematic manner.

Explanation:

Depreciation is an accounting method of allocating the cost of a tangible or physical asset over its useful life or life expectancy.

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The cost of an asset and its fair value are

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