Asked Dec 9, 2019

21. The activity method of depreciation

A) conceptually associates cost in terms of input measures.

B) is a variable charge approach.

C) assumes that depreciation is a function of the passage of time.

D) all of these answers are correct.


Expert Answer

Step 1

Under activity method of depreciation, expense of depreciation is charged on the basis of asset’s activity such as the number of units or lots produced by it or the number of hours the asset is op...

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