The Principal Difference Between Depreciation Expense and Most Other Types

question 70

Multiple Choice

The principal difference between depreciation expense and most other types of expenses is that depreciation

• A) can be avoided if the asset is in as good condition as when it was purchased.
• B) is often recorded without an accompanying outlay of cash.
• C) is not deductible if it will cause a net loss.
• D) is subject to more precise measurement.

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