If a company purchases an asset within the last 6 months of the year, it is considered owned for the entire year based upon the nearest whole year convention.

Question

Quizplus · Accepted Answer

The nearest whole year convention does not apply to asset ownership; instead, depreciation methods like the half-year convention might be used for tax purposes, where an asset is considered owned for half the year regardless of purchase date.

If a Company Purchases an Asset Within the Last 6