Millenium bought a custom-made piece of equipment for 36000, Ask an Expert

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Millenium bought a custom-made piece of equipment for $36,000. This equipment has a useful life of 6 years. Millenium depreciates equipment using the straight-line method. "Since the equipment is custom-made, it will have no resale value. Therefore, it shouldn't be depreciated but instead should be expensed immediately," argues Scott. "Besides, it provides for lower net income.what principle is being violated?

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Accounting Basics, Accounting

Category:- Accounting Basics
Reference No.:- M9983642

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