If an Asset Is Sensitive to Obsolescence and Becomes Less

question 29

Multiple Choice

If an asset is sensitive to obsolescence and becomes less efficient as time passes, what would be the most appropriate depreciation method for it?

• A)Straight-line
• B)Accelerated
• C)Usage-based
• D)Annuity- based

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Definitions:

Amino Acid

A building block of proteins, consisting of a basic amino group, an acidic carboxyl group, and a unique side chain.

Sulfur

A chemical element with symbol S and atomic number 16, known for its bright yellow color and importance in both organic molecules and inorganic minerals.

Mismatched

Something that does not correspond or align with another item, leading to a discrepancy or lack of harmony.

Cholesterol

A substance with a waxy, fatty consistency that is present in every cell of the body, essential for creating cell membranes, various hormones, and vitamin D.