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Which of the Following Is Not an Objection to the Use

Question 92

Multiple Choice

Which of the following is not an objection to the use of the straight-line method of amortization?


A) It may not satisfactorily match expense with revenue, depending on the asset.
B) It tends to ignore obsolescence as a major source of decline in economic value.
C) It does not recognize the investment characteristics of the ownership of capital assets.
D) it generally results in the lowest earnings.

Correct Answer:

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