The Principal Difference Between Depreciation Expense and Most Other Types

question 53

Multiple Choice

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

• A)depreciation expense can be avoided if the asset is worth at least what the company paid for it.
• B)depreciation expense requires an annual outlay of cash.
• C)the total amount of depreciation expense for the asset is reported on the balance sheet.
• D)depreciation expense is subject to more precise measurement than most other expenses.

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