In case there is revision in estimated useful life of a depreciable asset, the remaining unamortized amount is charged to __________.

remaining useful life

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written off in the current year as current charges

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written off in the current year as prior period adjustment

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treated as deferred revenue expenditure to be written off in

3

years

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Solution

The correct option is A remaining useful life
In case the useful life of the asset is changed, the amortised amount should be charged to the asset over the revised remaining estimated useful life of the asset. Such a revision should be treated as change in accounting estimates.

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In case there is revision in estimated useful life of a depreciable asset, the remaining unamortized amount is charged to __________.

The correct option is A remaining useful lifeIn case the useful life of the asset is changed, the amortised amount should be charged to the asset over the revised remaining estimated useful life of the asset. Such a revision should be treated as change in accounting estimates.

The correct option is A remaining useful life
In case the useful life of the asset is changed, the amortised amount should be charged to the asset over the revised remaining estimated useful life of the asset. Such a revision should be treated as change in accounting estimates.