Depletion is different from depreciation and amortization in that depletion is:
A)added to inventory.
B)used for intangible assets.
C)no different from depreciation and amortization.
D)an accelerated method.

Question

Quizplus · Accepted Answer

Because depletion of the natural resource is necessary to obtain the inventory,the depletion computed during a period is added to the cost of the inventory,not expensed in the period.

Depletion Is Different from Depreciation and Amortization in That Depletion