GB 518 Course Great Wisdom / tutorialrank.com GB 518 Course Great Wisdom / tutorialrank.com | Page 40

10 years

Question 9.

Question :

Obsolescence:

Occurs when an asset is at the end of its useful
life

Refers to a plant asset that is no longer useful in
producing goods and services
Refers to the insufficient capacity of a
company's plant assets to meet the company's productive demands
Occurs when an asset's salvage value is less than
its replacement cost
Does not affect plant assets
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