The useful life of a plant asset is:

A) The length of time it is productively used in a company's operations.
B) Never related to its physical life.
C) Its productive life,but not to exceed one year.
D) Determined by the FASB.
E) Determined by law.

Useful Life

The estimated period over which an asset is expected to be usable for its intended purpose.

Plant Asset

Long-term tangible assets used in the production and operation of a company, excluding inventory.

FASB

The Financial Accounting Standards Board, an independent organization responsible for establishing accounting and financial reporting standards in the United States.