Sullins Cleaning Service has purchased a new pressure washer for $18,000.Sullins Cleaning is allowed to charge a portion of the company's cost during its useful life against the profits it generates.This practice is called:

Question

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The practice of charging a portion of an asset's cost against the profits it generates over its useful life is called depreciation. This applies to tangible assets like a pressure washer.

Sullins Cleaning Service Has Purchased a New Pressure Washer for $18,000.Sullins