Accountants consider depreciation allowance as profit before calculating the tax._______and _______it from the firm's operating
A)profit; add
B)a cost; subtract
C)profit; subtract
D)a cost; add

Question

Quizplus · Accepted Answer

Depreciation is considered a cost and is subtracted from the firm's operating profit before calculating tax, as it reduces the taxable income.

Accountants Consider Depreciation Allowance as Profit Before Calculating the Tax