Depreciation Is Based on the Principle Of

question 36

Multiple Choice

Depreciation is based on the principle of:

• A) allocation.
• B) appropriation.
• C) estimation.
• D) approbation.

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Definitions:

Consideration

Consideration is a legal term that refers to something of value promised to another when making a contract, and it is a necessary element for the contract to be enforceable.

Gift Causa Mortis

A gift made by an individual who believes they are nearing death, which will be revoked if the donor survives.

Revoked

The action of withdrawing, cancelling, or annuling something previously in effect, such as a law, right, or agreement.

Confusion

The inseparable intermixture of property belonging to different owners.