AASB 116 para 6,defines depreciation expense as 'an expense recognised systematically for the purpose of allocating the depreciable amount of a depreciable asset over its useful life.'
Explain the terms,'depreciable amount' and 'useful life' and discuss the nature of depreciation that is implied by this definition.

Question

Quizplus · Accepted Answer

The Answer of AASB 116 para 6,defines depreciation expense as 'an expense recognised systematically for the purpose of allocating the depreciable amount of a depreciable asset over its useful life.'
Explain the terms,'depreciable amount' and 'useful life' and discuss the nature of depreciation that is implied by this definition.

AASB 116 Para 6,defines Depreciation Expense as 'An Expense Recognised