In accounting, depreciation and amortization involve a systematic process of
A)cost allocation.
B)valuation.
C)recognizing holding gains.
D)sum-of-the-years'-digits.
E)declining balances.

Question

Quizplus · Accepted Answer

Depreciation and amortization involve allocating the cost of an asset over its useful life, which is a form of cost allocation. Valuation, recognizing holding gains, and the sum-of-the-years'-digits and declining balance methods are not directly related to the process of cost allocation.

In Accounting, Depreciation and Amortization Involve a Systematic Process of