Which of the following is normally considered an accounting estimate?
A) Credit sales.
B) Amortization of capital assets.
C) Repairs and maintenance expense.
D) Audit fees.

Question

Quizplus · Accepted Answer

Amortization of capital assets is an accounting estimate as it involves calculating the value of an asset over its useful life. The other options are either actual transactions (credit sales and repairs and maintenance expense) or a service expense that is typically a fixed amount (audit fees).

Which of the Following Is Normally Considered an Accounting Estimate