Which of the Following Is a Key Difference Between Depreciation

question 87

Multiple Choice

Which of the following is a key difference between depreciation and amortization?

• A) Amortization is applicable for long-term assets, whereas depreciation is applicable for short-term assets.
• B) Depreciation applies to tangible assets, whereas amortization applies to intangible assets.
• C) Amortization is calculated for liabilities, whereas depreciation is calculated for assets.
• D) Amortization is calculated for assets, whereas depreciation is calculated for liabilities.
• E) Depreciation is applicable for long-term assets, whereas amortization is applicable for short-term assets.

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