All of the Following Are Consistent with the Purpose of Determining

question 39

Multiple Choice

All of the following are consistent with the purpose of determining the useful life of a long-lived asset except:

• A) using the information to convey expectations about the future usefulness of the assets to stakeholders.
• B) using the information to help project a rational basis for depreciation
• C) using the information to help project a systematic basis for depreciation
• D) using the information to manage earnings upward.

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Definitions:

Delphi Technique

The Delphi Technique is a forecasting method involving iterative rounds of questionnaires sent to a panel of experts, the results of which are aggregated and shared with the panel until a consensus is reached.

Nominal Group Technique

A structured method for group brainstorming that encourages contributions from everyone in the group to identify and solve problems.

Scenario Planning

A strategic planning method used to make flexible long-term plans based on varying assumptions about future conditions.

Quantitative Model

A mathematical model that represents systems using numerical parameters to predict and analyze their behavior under different scenarios.