Question : _____________is used for writing off (fixed) tangible assets over their estimated useful.
Option 1: Depreciation
Option 2: Amortization
Option 3: Both A and B
Option 4: None of the above
Correct Answer: Depreciation
Solution : Answer = Depreciation The term 'Depreciation' is used for writing off (fixed) tangible assets over their estimated useful life and the term 'Amortisation' is used for writing off (fixed) intangible assets (such as goodwill, trademarks, copyrights, etc.) over their estimated useful life. Hence, the correct option is 1.
Question : The term _______________is used for writing off (fixed) intangible assets (such as goodwill, trademarks, copyrights, etc.) over their estimated useful Amortization life.
Question : If the Balance Sheet does not have an item of Provision for Depreciation or Accumulated Depreciation, it means that fixed assets are shown in the Balance Sheet at their--------------.
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