Answer-Depreciation is charged on __________ as per the ___________ of accounting.

Non-Current assets like fixed assets are a result of Capital Expenditures. Depreciation is charged on long term fixed assets. Since the Non-Current Assets give the benefits for more than one year therefore, the cost cannot be taken as expense in the year of acquisition. As such, the matching concept is applied to charge depreciation over the useful life of the non-current asset.

Question

Depreciation is charged on __________ as per the

___________ of accounting.

A Capital Receipts, accrual concept

B Capital Expenditures, matching concept

C Revenue Receipts , prudence concept

D Revenue Expenditure, going concern concept

E Revenue expense, business entity concept

Practice Next

More Alternate Sources of Finance Questions

Which of the following was used in first generation computer was in
Based on the English alphabetical order, three of the following four letter-clusters are alike in a certain way and thus form a group. Which letter-clus...
In which Congress Session, was the demand for ‘Purna Swaraj’ adopted?
The number of boys and girls in a school is 150 and 280 respectively. 30% of boys left the school while 20 girls took admission in the school. Find the ...
The product of the roots of 3x² −13x + 6 = 0 is:
Which of the following statements is incorrect with respect to the International Bank for Reconstruction and Development (IBRD)?
Which Indian has won the ”Ramon Magsaysay Award-2023”?
V.V. Giri National Labour Institute was established in?
Who among the following was not a member of Navratnas of Akbar?
Which language is directly understood by the computer without translation Program?

Depreciation is charged on __________ as per the

Solution