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d1i1m1o1n [39]
3 years ago
11

Consider a service company that provides carpet cleaning and uses straight-line depreciation. Classify the cost of the depreciat

ion on the carpet cleaning machines. (Check all that apply.)
Business
1 answer:
madreJ [45]3 years ago
8 0

Answer: Fixed Indirect costs.

Explanation:

Depreciation cost is the amount of a fixed asset that has been charged to expense through a periodic depreciation charge. Depreciation can either be a direct cost which is one that varies in concert with changes in a related activity while

an indirect cost is one that is not directly associated with an activity.

The determination of depreciation as a direct or indirect cost depends upon what it is associated with. For example carpet cleaning is an Indirect costs because it's precise benefits to a specific project is difficult or impossible to trace Also,since depreciation is a fixed cost, because it recurs in the same amount per period throughout the useful life of an asset then cost of the depreciation on the carpet cleaning is a Fixed Indirect Cost.

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