The useful life of an asset for accounting purposes refers to:
A) the period of time over which an asset is considered to be of use to an entity.
B) the expected life of the asset based on engineering estimates.
C) the maximum physical life of the asset.
D) the shortest of the physical and economic lives of the asset.

Question

Quizplus · Accepted Answer

The useful life of an asset for accounting purposes refers to the period of time over which an asset is considered to be of use to an entity. This is typically determined by factors such as the expected wear and tear on the asset, as well as any technological or market changes that may render the asset obsolete.

The Useful Life of an Asset for Accounting Purposes Refers