Property, plant, and equipment and intangible assets are long-term, revenue-producing assets.

The process of allocating the cost of natural resources over their useful life is known as:

Total depreciation is the same over the life of an asset regardless of the method of depreciation used.

An asset was acquired on January 1, 2021, for $78,000 with an estimated five-year life and $13,000 residual value. The company uses units-of-production depreciation and expects the asset to produce 20,000 units.  Actual production was: 2021 = 500 units; 2022 = 3,000 units; 2023 = 3,500 units; 2024 = 1,000 units. What amount will the company record for annual depreciation expense in 2023?

The cost of constructing a new parking lot at the company’s office building would be recorded as:

Which method of depreciation is used by most companies?

When as asset is sold, if cash received is less than the book value of the asset, the company would record a:

Cutter Enterprises purchased equipment for $72,000 on January 1, 2021. The equipment is expected to have a five-year life and a residual value of $6,000.Using the double-declining-balance method, depreciation for 2021 and the book value at December 31, 2021, would be:

The depreciable base (cost) for an asset is:

Cutter Enterprises purchased equipment for $72,000 on January 1, 2021. The equipment is expected to have a five-year life and a residual value of $6,000.Using the straight-line method, depreciation for 2021 would be: