{"id":54920,"date":"2024-04-16T00:18:30","date_gmt":"2024-04-16T00:18:30","guid":{"rendered":"https:\/\/exam.pscnotes.com\/mcq\/?p=54920"},"modified":"2024-04-16T00:18:30","modified_gmt":"2024-04-16T00:18:30","slug":"which-method-has-been-specially-designed-to-provide-funds-for-replacement-of-assets","status":"publish","type":"post","link":"https:\/\/exam.pscnotes.com\/mcq\/which-method-has-been-specially-designed-to-provide-funds-for-replacement-of-assets\/","title":{"rendered":"Which method has been specially designed to provide funds for replacement of assets?"},"content":{"rendered":"<p>[amp_mcq option1=&#8221;Depreciation at replacement price method&#8221; option2=&#8221;Depreciation fund method&#8221; option3=&#8221;Depletion mehtod&#8221; option4=&#8221;Sum of year&#8217;s digits mehtod&#8221; correct=&#8221;option1&#8243;]<!--more--><\/p>\n<p>The correct answer is: A. Depreciation at replacement price method.<\/p>\n<p>Depreciation at replacement price method is a depreciation method that is specially designed to provide funds for replacement of assets. It is based on the assumption that the asset should be depreciated at its replacement cost, rather than its original cost. This method is often used for assets that have a long life and are subject to technological obsolescence.<\/p>\n<p>The other options are incorrect because they are not specifically designed to provide funds for replacement of assets.<\/p>\n<ul>\n<li>Depreciation fund method is a depreciation method that is based on the concept of a depreciation fund. The depreciation fund is a reserve that is created to provide for the replacement of the asset at the end of its useful life. The amount of depreciation expense is calculated based on the estimated useful life of the asset and the expected salvage value.<\/li>\n<li>Depletion method is a depreciation method that is used for natural resources, such as oil and gas. The depletion expense is calculated based on the estimated units of production that will be extracted from the resource.<\/li>\n<li>Sum of year&#8217;s digits method is a depreciation method that is based on the assumption that the asset is used more heavily in the early years of its life. The depreciation expense is calculated based on the sum of the digits of the asset&#8217;s useful life.<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>[amp_mcq option1=&#8221;Depreciation at replacement price method&#8221; option2=&#8221;Depreciation fund method&#8221; option3=&#8221;Depletion mehtod&#8221; option4=&#8221;Sum of year&#8217;s digits mehtod&#8221; correct=&#8221;option1&#8243;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[85],"tags":[],"class_list":["post-54920","post","type-post","status-publish","format-standard","hentry","category-accounting","no-featured-image-padding"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v22.2 (Yoast SEO v23.3) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Which method has been specially designed to provide funds for replacement of assets?<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/exam.pscnotes.com\/mcq\/which-method-has-been-specially-designed-to-provide-funds-for-replacement-of-assets\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Which method has been specially designed to provide funds for replacement of assets?\" \/>\n<meta property=\"og:description\" content=\"[amp_mcq option1=&#8221;Depreciation at replacement price method&#8221; option2=&#8221;Depreciation fund method&#8221; option3=&#8221;Depletion mehtod&#8221; option4=&#8221;Sum of year&#8217;s digits mehtod&#8221; correct=&#8221;option1&#8243;]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/exam.pscnotes.com\/mcq\/which-method-has-been-specially-designed-to-provide-funds-for-replacement-of-assets\/\" \/>\n<meta property=\"og:site_name\" content=\"MCQ and Quiz for Exams\" \/>\n<meta property=\"article:published_time\" content=\"2024-04-16T00:18:30+00:00\" \/>\n<meta name=\"author\" content=\"rawan239\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"rawan239\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"1 minute\" \/>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"Which method has been specially designed to provide funds for replacement of assets?","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/exam.pscnotes.com\/mcq\/which-method-has-been-specially-designed-to-provide-funds-for-replacement-of-assets\/","og_locale":"en_US","og_type":"article","og_title":"Which method has been specially designed to provide funds for replacement of assets?","og_description":"[amp_mcq option1=&#8221;Depreciation at replacement price method&#8221; option2=&#8221;Depreciation fund method&#8221; option3=&#8221;Depletion mehtod&#8221; option4=&#8221;Sum of year&#8217;s digits mehtod&#8221; correct=&#8221;option1&#8243;]","og_url":"https:\/\/exam.pscnotes.com\/mcq\/which-method-has-been-specially-designed-to-provide-funds-for-replacement-of-assets\/","og_site_name":"MCQ and Quiz for Exams","article_published_time":"2024-04-16T00:18:30+00:00","author":"rawan239","twitter_card":"summary_large_image","twitter_misc":{"Written by":"rawan239","Est. reading time":"1 minute"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/exam.pscnotes.com\/mcq\/which-method-has-been-specially-designed-to-provide-funds-for-replacement-of-assets\/","url":"https:\/\/exam.pscnotes.com\/mcq\/which-method-has-been-specially-designed-to-provide-funds-for-replacement-of-assets\/","name":"Which method has been specially designed to provide funds for replacement of assets?","isPartOf":{"@id":"https:\/\/exam.pscnotes.com\/mcq\/#website"},"datePublished":"2024-04-16T00:18:30+00:00","dateModified":"2024-04-16T00:18:30+00:00","author":{"@id":"https:\/\/exam.pscnotes.com\/mcq\/#\/schema\/person\/5807dafeb27d2ec82344d6cbd6c3d209"},"breadcrumb":{"@id":"https:\/\/exam.pscnotes.com\/mcq\/which-method-has-been-specially-designed-to-provide-funds-for-replacement-of-assets\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/exam.pscnotes.com\/mcq\/which-method-has-been-specially-designed-to-provide-funds-for-replacement-of-assets\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/exam.pscnotes.com\/mcq\/which-method-has-been-specially-designed-to-provide-funds-for-replacement-of-assets\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/exam.pscnotes.com\/mcq\/"},{"@type":"ListItem","position":2,"name":"mcq","item":"https:\/\/exam.pscnotes.com\/mcq\/category\/mcq\/"},{"@type":"ListItem","position":3,"name":"accounting","item":"https:\/\/exam.pscnotes.com\/mcq\/category\/mcq\/accounting\/"},{"@type":"ListItem","position":4,"name":"Which method has been specially designed to provide funds for replacement of assets?"}]},{"@type":"WebSite","@id":"https:\/\/exam.pscnotes.com\/mcq\/#website","url":"https:\/\/exam.pscnotes.com\/mcq\/","name":"MCQ and Quiz for Exams","description":"","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/exam.pscnotes.com\/mcq\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/exam.pscnotes.com\/mcq\/#\/schema\/person\/5807dafeb27d2ec82344d6cbd6c3d209","name":"rawan239","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/exam.pscnotes.com\/mcq\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/761a7274f9cce048fa5b921221e7934820d74514df93ef195a9d22af0c1c9001?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/761a7274f9cce048fa5b921221e7934820d74514df93ef195a9d22af0c1c9001?s=96&d=mm&r=g","caption":"rawan239"},"sameAs":["https:\/\/exam.pscnotes.com"],"url":"https:\/\/exam.pscnotes.com\/mcq\/author\/rawan239\/"}]}},"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/posts\/54920","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/comments?post=54920"}],"version-history":[{"count":0,"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/posts\/54920\/revisions"}],"wp:attachment":[{"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/media?parent=54920"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/categories?post=54920"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/tags?post=54920"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}