Question: explain & identify the factors to be considered when choosing a depreciation method? Determine the impact on profits by using different depreciation methods? It is

explain & identify the factors to be considered when choosing a depreciation method?

Determine the impact on profits by using different depreciation methods?

It is important to analyze how a healthcare organization uses depreciation, which can represent a significant portion of the expenses on an entity's income statement, impacting the value of an investment opportunity in the short term.

discuss the main depreciation methods used by healthcare organizations and assess the critical assumptions about expensing depreciation that is up to the entity's management. Management makes the call on the following things:

Method and rate of depreciation
The useful life of the asset
Scrap value of the asset

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