Day: September 27, 2023

Accounting Multiple Choice Question -27 September 2023

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

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Why do businesses charge depreciation on their non-current assets?

Select ONE answer:

  1. to ensure that sufficient cash is available to replace the assets
  2. to show the realisable value of the assets in the statement of financial position
  3. to show when the assets must be replaced
  4. to spread the cost of the assets over their estimated useful lives

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 4

  1. Not correct
  2. Not correct
  3. Not correct
  4. Correct

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