Which statement describes the subsequent measurement of ROU assets using the cost model? A. An ROU asset
Question:
Which statement describes the subsequent measurement of ROU assets using the cost model?
A. An ROU asset is usually depreciated over the lesser of the lease term and the asset's useful life, unless there is reasonable certainty that the lessee will obtain ownership by the end of the lease term. Then the asset must be depreciated over the life of the asset.
B. An ROU asset is usually depreciated over the lesser of the asset's life and its useful life, unless there is reasonable certainty that the lessee will obtain ownership by the end of the lease term. Then the asset must be depreciated over the lease term.
C. An ROU asset is usually depreciated over the lesser of the lease term and the asset's life, unless there is reasonable certainty that the lessee will obtain ownership by the end of the lease term. Then the asset must be depreciated over the useful life of the asset.
D. An ROU asset is usually depreciated over the lesser of the lease term and the asset's useful life, unless there is reasonable certainty that the lessee will obtain ownership by the end of the lease term. Then the asset must be depreciated