The systematic allocation of the costs of natural assets to expense is called
A) amortization.
B) depreciation.
C) impairment.
D) depletion.

Question

Quizplus · Accepted Answer

Depletion is the systematic allocation of the cost of natural resources (such as minerals, oil, and gas) over their productive life. It is similar to depreciation, which is used for tangible assets, and amortization, which is used for intangible assets.

The Systematic Allocation of the Costs of Natural Assets to Expense