ild Tangent Games Calculator Which of the following is not t

ild Tangent Games... Calculator Which of the following is not true regarding depreciation? a Depreciation expense reflects the decreas b. Depreciation is an allocation not a valuation method. Oc. Depreciation expense does not measure changes in market value. d. Depreciation allocates the cost of a fixed asset over its estimated life.

Solution

Depreciation is an allocation of cost of fixed assets over estimated life. Depreciation expenses will not take any measurement of market value of fixed assets.

Depreciation is an indirect expenses which is incurr as time of assets.

so answer is a) depreciation expenses reflects the decrease in market value each year.