NO.PZ2024022701000074
问题如下:
Depreciation expense is best used in forecasting:
选项:
A.growth capital expenditure only.
B.maintenance capital expenditure only.
C.both growth capital expenditure and maintenance capital expenditure.
解释:
Solution-
Incorrect because depreciation expense can serve as the basis for maintenance capital expenditures, as it is management's estimate of the cost of fixed assets expensed on the income statement in a manner that tracks its use. Growth capital expenditure forecasts are more discretionary and are tied to management's expansion plans and revenue growth. Therefore, it is unlikely that depreciation expense will be used when forecasting this item.
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Correct because depreciation expense can serve as the basis for maintenance capital expenditures, as it is management's estimate of the cost of fixed assets expensed on the income statement in a manner that tracks its use.
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Incorrect because depreciation expense can serve as the basis for maintenance capital expenditures, as it is management's estimate of the cost of fixed assets expensed on the income statement in a manner that tracks its use. Growth capital expenditure forecasts are more discretionary and are tied to management's expansion plans and revenue growth. Therefore, it is unlikely that depreciation expense will be used when forecasting this growth capital expenditure.
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这里考察的是哪个知识点?