External Benefits in Consumption Refer to Benefits Accruing to

question 110

Multiple Choice

External benefits in consumption refer to benefits accruing to

• A)those who are selling the product to the consumers.
• B)those who bought and consumed the product.
• C)those other than the ones who consumed the product.
• D)those who are consuming the product abroad.

---

Definitions:

Straight-Line Depreciation

A method of allocating the cost of a tangible asset over its expected useful life in equal annual amounts.

Operating Lease

A leasing agreement for short-term use of an asset, where the lessor retains risks and benefits of ownership.

Lessor

The owner of an asset that is leased to another party, referred to as the lessee.

Depreciated Historical Cost

The original cost of an asset minus accumulated depreciation, representing its value over time for accounting purposes.