Answer the following statements true (T) or false (F)
1. Depreciation is the allocation of a plant asset's cost to expense over its useful life.
2. An asset is considered to be obsolete when a newer asset can perform the job more efficiently
3. Depreciation means that the business sets aside cash to replace an asset when it is used up.
4. Residual value is also known as depreciable cost.
1. TRUE
2. TRUE
3. FALSE
4. FALSE
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