Match each statement with the correct term below.
-Depletion
A)Trucks, and passenger automobiles.
B)Used to recover the investment in intangible assets.
C)Used to recover the investment in long-lived tangible business-use assets.
D)An attempt to stimulate capital investment by small businesses.
E)Used to recover the investment in assets that waste away through extraction.

Question

Quizplus · Accepted Answer

Depletion is specifically related to the accounting process used for resources that are consumed over time through extraction, such as minerals, oil, and gas. This method helps in recovering the investment in such wasting assets.

Match Each Statement with the Correct Term Below