Depreciation expense is:
A)Only an estimate.
B)An exact calculation prepared by an appraiser.
C)Not to be calculated unless the exact life of an asset can be determined.
D)To be determined for all assets owned by a company.

Question

Quizplus · Accepted Answer

Depreciation expense is an estimate of the reduction in value of a tangible asset over its useful life. It is not an exact calculation because it involves assumptions about the asset's useful life and salvage value.

Depreciation Expense Is