Economic Depreciation Is the

Multiple Choice

Economic depreciation is the

A) fall in value of the firm's capital, calculating using IRS rules.
B) opportunity cost of owning and using the firm's capital, measured as the change in market value.
C) decrease in the value of finished goods and services that are held in inventories prior to being sold.
D) term given to a fall in a company's stock price.
E) name given to how accountants calculate the depreciation of the company's capital.