Depreciation is BEST described as:
AA cash outflow
BSystematic allocation of an asset's cost over its useful lifeCORRECT
CMarket-value revaluation
DImpairment loss
CIBNFinancial Accounting
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Why the answer is B, and why the others tempt you.
Depreciation allocates the depreciable amount (cost − residual value) over useful life — a non-cash expense.
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