CFA Practice Question

CFA Practice Question

The average depreciable life of fixed assets equals ______.
A. Ending Gross Investment/Depreciation Expense
B. Depreciation Expense/Ending Gross Investment
C. Accumulated Depreciation/Depreciation Expense
Explanation: This calculation is only a rough approximation, as it can be affected by changes in the asset mix.

User Contributed Comments 6

User Comment
copus EASY QUESTION! Lets hope the examiners are feeling charitable in June...although I suppose the difficulty of the exam does not really matter because they grade on a curve.
escempep Normaly, any candidate geting more than 70% of good answers is accepted..
AUAU Y not aim at above 70% marks ?
It'll sure win!
ashish100 just rub it in my face copus.....

lol it really is such an easy question tho. my brain decided to make it complex.
ashish100 C is for average age in years for the asset btw.
Albireo Can someone explain this please? I just can't get my head around it!
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