Question

Depreciation, in accounting, is a process that results in: Multiple Choice an accurate measurement of the economic usefulness of an asset. depreciable assets being reported in the balance sheet at their fair value. accumulating cash for the replacement of the asset.

Answer 1

Answer:

spreading the cost of an asset over its useful life to the entity.

Explanation:

The depreciation is a non-cash expense that should be charged over the fixed assets i.e. land, buidling, car, etc

It is an expense so the same should be shown on the debit side of the income statement

Also the cost of an asset minus the salvage value divided by the useful life could be spreaded as the depredciation expense by using straight-line method