Asked by Juleny Degollado on Jul 11, 2024

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The units-of-activity method is generally not suitable for

A) airplanes.
B) buildings.
C) delivery equipment.
D) factory machinery.

Units-Of-Activity

A depreciation method that allocates the cost of an asset over its useful life based on its actual usage or activity level.

Factory Machinery

Refers to the physical equipment used in the production process within a manufacturing facility.

Delivery Equipment

Assets such as trucks and vans that are used by a business to transport products to customers.

  • Distinguish between the various depreciation methods and their appropriate applications.
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KN
Karis NguyenJul 17, 2024
Final Answer :
B
Explanation :
The units-of-activity method is generally not suitable for buildings because this method is based on the usage or productivity of the asset, rather than time. Buildings' depreciation typically doesn't correlate directly with their activity level, making other methods like straight-line depreciation more appropriate.