Question

Which of the following is the length of time that an asset is expected to be used by a company to generate revenue?

A Salvage value Correct Answer Incorrect Answer
B Residual value Correct Answer Incorrect Answer
C Useful life Correct Answer Incorrect Answer
D Depreciation rate Correct Answer Incorrect Answer

Solution

Explanation: The useful life of an asset is an estimate of the period of time over which the asset is expected to be used by a company to generate revenue.

Practice Next

Relevant for Exams:

×
×