Question

Depreciation is non-cash and non- operating expense which is to be provided for whether there are profits losses. true false true fawls​

Answer 1

Answer:

Depreciation is one of the few expenses for which there is no outgoing cash flow. Cash is spent during the acquisition of the fixed asset, so there is no need to expend any more cash as part of the depreciation process unless the asset is being upgraded. So, depreciation is a non-cash component of operating expenses.

Answer is false

Depreciation is non cash expense but it is operating expense which is charged to profit and loss account

Explanation:

Answer 2

The statement is True.

• Devaluation is viewed as a non-money cost since it is basically a progressing charge to the conveying measure of a fixed resource.
• It is intended to decrease the recorded expense of the resource over its valuable life.
• It refers, that at the point when that fixed resource was initially bought, there was a money surge to pay for the resource