One problem with measuring a durable good's cost is
A)how to allocate the initial purchase cost.
B)how to account for depreciation of the good.
C)that the good may break before the end of its estimated useful life.
D)when to decide to throw it away for a newer model even if the cost has not been accounted for.

Question

Quizplus · Accepted Answer

Durable goods have a significant initial purchase cost that needs to be allocated over the useful life of the good, making it challenging to measure their cost accurately.

One Problem with Measuring a Durable Good's Cost Is