Advanced Financial Analyst

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Advanced Financial Analyst Interview Questions and Answers

Updated 26 Feb 2022

Q1. What is Depreciation?

Ans.

Depreciation is the decrease in value of an asset over time due to wear and tear, obsolescence, or other factors.

  • Depreciation is a non-cash expense that reduces the value of an asset on the balance sheet.

  • It is calculated by dividing the cost of the asset by its useful life.

  • There are different methods of calculating depreciation, such as straight-line, declining balance, and sum-of-the-years-digits.

  • Examples of assets that can be depreciated include buildings, vehicles, machine...read more

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