All operating assets,except land,are subject to depreciation,amortization,or depletion.

Question

Quizplus · Accepted Answer

This statement is true. Depreciation is applied to tangible assets, such as buildings and equipment, while amortization is applied to intangible assets, such as patents and trademarks. Depletion is applied to natural resources, such as oil or timber. All of these methods help to allocate the cost of the asset over its useful life. Land, on the other hand, is not subject to depreciation, amortization, or depletion, as it is considered to have an indefinite life.

All Operating Assets,except Land,are Subject to Depreciation,amortization,or Depletion