An asset's useful life is based on the:
A)asset's depreciable cost.
B)useful economic life to the company.
C)asset's residual value.
D)schedule required by the IRS.

Question

Quizplus · Accepted Answer

Useful life is an estimate of the asset's useful economic life to the company (not its economic life to all potential users).It may be expressed in terms of years or units of capacity,such as the number of units it can produce or the number of miles it will travel.

An Asset's Useful Life Is Based on The