Question

    Which of the following is the length of time that an asset is expected to be used by a company to generate revenue?

    A Salvage value Correct Answer Incorrect Answer
    B Residual value Correct Answer Incorrect Answer
    C Useful life Correct Answer Incorrect Answer
    D Depreciation rate Correct Answer Incorrect Answer

    Solution

    Explanation: The useful life of an asset is an estimate of the period of time over which the asset is expected to be used by a company to generate revenue.

    Practice Next

    Relevant for Exams: