With Respect to Depreciation Policies, the Principle of Consistency Means

question 17

Multiple Choice

With respect to depreciation policies, the principle of consistency means:

• A) A company should use the same depreciation methods in its financial statements that it uses in its income tax returns.
• B) A company should use the same depreciation methods as other companies in the same industry.
• C) A company should use the same depreciation method from year to year for a given PPE asset.
• D) A company should use the same depreciation method in computing depreciation expense on all its assets.

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Definitions:

Chemical Carcinogen

A substance or agent that can cause cancer by altering the genetic material in cells or interfering with cellular processes.

Viral Carcinogen

A virus that can cause cancer by infecting and altering the genetic material of a host's cells, leading to uncontrolled cell growth.

Physical Carcinogen

A physical factor or exposure that can cause cancer, such as ultraviolet light or radiation.

Familial Carcinogenesis

The process by which cancer is caused or influenced by genetic factors passed down through family lines.