Learn About Depreciation Review Questions with Our Care and Guidance
Everything in this world is going to last for a certain period of time. This is why because of the excessive use of any given products and with the advent of modern technology, the commercial value of the products gets lower down. In the field of business this devaluation of that product is termed as deprecation. To assess the deprecation value of a product is most important in the commercial market. Student who are learning accounts and commerce and wish to make a bold career in it, must explore the subject with our Depreciation Review Questions homework help.
Types of depreciation
Depreciation is categorized in differently on the basis of the process how it is calculate. There are several ways to calculate the depreciation amount of a product. The common processes are:
- Straight line process
- Diminishing Value process
- Annuity process for depreciation
- Machine hour rate process
- Revaluation process
- Sum of the years’ digit process
- Double-Declining-Balance Method
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Causes of depreciation
Several reason are there whichcause the value reduction of a product, we tried to give a fair idea about it. If you are looking for in-depth idea thenyou can definitely contact us and may avail our Depreciation Review Questions homework help.
- For random uses
After a constant use, all the products have lost their quality and efficiency, so its value goes down.
- Over the time
After a long period use or not is use the quality and ability of a product get reduced. Its value decreased with the elapse of time.
- Deterioration of capability
A product lost its capability after a long stretch of use in random because the different parts of the product are destroyed. With the deterioration of its capability the value of the product too deteriorates.
- Introduction of advancement
With an advancement of science and technology our life becomes more advance and modern. Due to this technical advancement modern and advanced version of products are introduced on a regular basis. These new and advanced products obsolete the old one. So the old products lost its value gradually.
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