The term "depreciable base," or "depreciation base," as it is used in accounting, refers to
A) the total amount to be charged (debited) to expense over an asset's useful life.
B) the cost of the asset less the related depreciation recorded to date.
C) the estimated market value of the asset at the end of its useful life.
D) the acquisition cost of the asset.

Question

Quizplus · Accepted Answer

The depreciable base or depreciation base is the total amount that will be allocated as depreciation expense over the asset's useful life, which includes the acquisition cost minus any salvage value (the estimated value at the end of its useful life). This definition aligns with option A, as it encompasses the total amount to be expensed through depreciation over the asset's useful life.

The Term "Depreciable Base," or "Depreciation Base," as It Is