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      Question

      Depreciation is charged as per which

      principle?
      A Prudence Correct Answer Incorrect Answer
      B Going Concern Correct Answer Incorrect Answer
      C Consistency Correct Answer Incorrect Answer
      D Matching Correct Answer Incorrect Answer
      E Dual Aspect Correct Answer Incorrect Answer

      Solution

      Depreciation is the value which is written off out of the wear and tear of a Non-Current Asset. Since the asset is used across the useful life of the asset, therefore, the revenues generated should be matched with the expenses incurred across the useful life.

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