New RBI Grade B 2025 Notification will come Soon! Enroll Here

    Question

    Depreciation is charged as per which

    principle?
    A Prudence Correct Answer Incorrect Answer
    B Going Concern Correct Answer Incorrect Answer
    C Consistency Correct Answer Incorrect Answer
    D Matching Correct Answer Incorrect Answer
    E Dual Aspect Correct Answer Incorrect Answer

    Solution

    Depreciation is the value which is written off out of the wear and tear of a Non-Current Asset. Since the asset is used across the useful life of the asset, therefore, the revenues generated should be matched with the expenses incurred across the useful life.

    Practice Next