The useful life of an item of property, plant and equipment is: Select one: a. Never related to its physical life. O b. The length of time it is productively used in a company's operations. c. Its productive life, but not to exceed one year. d. Determined by the FASB. O Depreciation: Select one: a. Is the process of allocating to expense the cost of an item of property, plant and equipo b. Measures physical deterioration of an asset. c. Is an outflow of cash from the use of an item of property, plant and equipment. d. Measures the decline in market value of an asset. The formula for computing annual straight-line depreciation is: Select one: a. Cost less residual value divided by the useful life in years. b. Cost plus residual value divided by the useful life in years. c. Cost multiplied by useful life in years. O CO d. Depreciable cost divided by useful life in units. A method that charges the same amount of expense to each period of the asset's useful life is called: Select one: O a. Units-of-production depreciation. O b. Declining balance depreciation. c. Accelerated depreciation. O d. Straight-line depreciation. The total cost of an asset less its accumulated depreciation is called: 10 Select one: a. Historical cost. b. Present value. O c. Current (market) value. d. Carrying amount