22. Would you say that a balance sheet is a statement of fact, or merely an opinion based on experience? Why?
Chapter VI
1. Define depreciation and show why the depreciation factor demands consideration.
2. Distinguish between “absolute or actual” and “theoretical” depreciation.
3. Define “accounting” depreciation.
4. What is meant by complete depreciation? Incomplete?
5. How can a consideration of complete depreciation be of value?
6. What is the relation of individual depreciation to composite depreciation?
7. What is meant by “normal” or “average” value in connection with composite depreciation?
8. Define “deferred maintenance,” “accrued depreciation.”