The Depreciation Process Follows the ________ Principle

question 126

Multiple Choice

The depreciation process follows the ________ principle.

• A)revenue recognition
• B)expense recognition
• C)disclosure
• D)consistency

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Definitions:

Competing Stores

Retail or service establishments that offer similar products or services targeting the same customer base, and thus are in direct competition with each other.

Expense Items

Costs incurred by a business or individual in the course of achieving income or maintaining operations, such as rent, salaries, or utilities.

Component Parts

Individual items that are put together to form a product or can be used as part of a more complex assembly.

Raw Materials

Basic materials from which products are made, typically unprocessed or only slightly processed and used in the manufacturing or production process.