The depreciation is an expense accruing ______________.

from the consumption of some readily consumable assets

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from the use of fixed assets

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from the use of various services

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from the use of current asset

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Solution

The correct option is B from the use of fixed assets
Companies use their cash flow to make payments for fixed assets. Depreciation spreads the expense of a fixed asset over the years of the estimated useful life of the asset. The accounting entries for depreciation are a debit to depreciation expense and a credit to fixed asset depreciation accumulation.

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