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A-LevelAccountingAccounting for non-current assets9706/12 · Oct/Nov 2020 · Q21 Mark

What is depreciation?

Ameans of allocating the cost of a non-current asset over its useful life
Bmeasure of the decrease in market value of a non-current asset
Can outflow of cash from the use of a non-current asset
Dthe expense spent on the non-current asset

✓ Correct answer

A: means of allocating the cost of a non-current asset over its useful life

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About this question

Topic
Accounting for non-current assets, A-Level Accounting (syllabus 9706). Multiple choice, 1 mark.
Source
A-Level Accounting, Oct/Nov 2020 Paper 1 Variant 2, question 2.

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