Can the Accumulated Depreciation of a Depreciable Asset Be Greater

question 15

Multiple Choice

Can the accumulated depreciation of a depreciable asset be greater than an assets cost when it is fully depreciated and still in use?

• A)Yes - as it is still in use it continues to be depreciated.
• B)No - although it is still in use it does not continue to be depreciated.
• C)No - because the asset is considered retired even though it is still in use.
• D)Yes - as the asset is retired and then reinstated on the books to be depreciated for its continued use.

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