JAMB Accounting 2022 Objective — Question 21

Question 21 of 40 from the Joint Admissions and Matriculation Board (JAMB) Accounting 2022 Objective paper, with the correct answer and a full explanation.

21. The process of allocating the cost of a tangible asset over its useful life is known as

A. (A) depreciationCorrect
B. (B) extraction
C. (C) depletion
D. (D) amortization

Explanation

Depreciation refers to the wear and tear of an asset; it is a provision for the future replacement of the asset over its useful life.

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