Which one of the following does not constitute a probable relationship between accounts?
A)Equipment and depreciation.
B)Patent and amortization.
C)Assets under capital leases and amortization.
D)Oil reserves and depreciation.

Question

Quizplus · Accepted Answer

Oil reserves are not subject to depreciation since these assets do not wear out and can be replenished naturally or through exploration and development. Instead, oil reserves are subject to depletion accounting to reflect the reduction in the amount of recoverable oil over time.

Which One of the Following Does Not Constitute a Probable