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Depreciation

Total questions: 10

Worksheet time: 3mins

Name
Class
Date
1.

The Depreciation remains constant according to which method?

a)

Sum of Years Digits

b)

Units of Production

c)

Declining Balance

d)

Straight Line Method

2.

What are two types of Fixed Assets?

a)

Intangible Assets and Current Assets

b)

Tangible Assets and Current Assets

c)

Current Assets and Fixed Assets

d)

Tangible Assets and Intangible Assets

3.

Fixed Assets most commonly appear on the balance sheet as…

a)

Property, plant and equipment (PP&E)

b)

Vehicle

c)

Office building

d)

Machinery

4.

What are included in Current Assets?

a)

Cash and cash equivalents, accounts payable (AP), inventory, prepaid expenses

b)

Cash and cash equivalents, accounts receivable (AR), inventory, prepaid expenses

c)

Vehicle, inventory, prepaid expenses and cash

d)

None of the above

5.

With what method of depreciation, an asset’s cost is depreciated the same amount for each accounting period?

a)

Straight line method

b)

MACRS method

c)

Declining Balance Method

d)

Sum of Years Digits

6.

Market value of the shares are decided by…

a)

the respective companies

b)

the investment market

c)

the government

d)

shareholders

7.

What are included in Intangible Assets?

a)

Patents, trademarks

b)

Copy right

c)

Plant, furniture

d)

Patents, trademarks, copy right

8.

Which country uses MACRS method?

a)

The United Kingdom

b)

The United State

c)

Vietnam

d)

Australia

9.

In the UK, the straight line depreciation method can be calculated by dividing The original cost of the asset?

a)

Salvage value

b)

Depreciation Percentage

c)

Useful Life of the Asset

d)

None of the above

10.

Straight line depreciation is the depreciation method to calculate

a)

easiest

b)

hardest

c)

most sophisticated

d)

most accurate