Depreciation is: the difference between the total sources available to the owner

Solution : Depriciation is listed as a source of funds because it is a noncash expense, deducted as a cost of doing business.

ID: 376533 • Letter: D

Question

Depreciation is:

the difference between the total sources available to the owner and the total uses of those assets.

listed as a source of funds because it is a noncash expense, deducted as a cost of doing business.

the owner's total investment at the company's inception plus retained earnings.

creditors' total claims against the firm's assets.

the difference between the total sources available to the owner and the total uses of those assets.

listed as a source of funds because it is a noncash expense, deducted as a cost of doing business.

the owner's total investment at the company's inception plus retained earnings.

creditors' total claims against the firm's assets.

Solution :

Depriciation is listed as a source of funds because it is a noncash expense, deducted as a cost of doing business.

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