In the Assets application a used engine needs to be replaced with a rebuilt engine, how might the rebuilt engine inherit the depreciation schedule from the used engine?

Question

Options

• AUse the action Exchange Depreciation Schedules.
• BUse the action Copy Depreciation Schedules.
• CUse the action Swap Depreciation Schedules.
• DUse the action Split Depreciation Schedules.

• A
  4% (3)
• B
  10% (7)
• C
  83% (57)
• D
  3% (2)

Explanation

Swap Depreciation Schedules (C) is correct because "swapping" implies a direct transfer of the depreciation schedule between two assets - the rebuilt engine takes on the remaining depreciation history and schedule of the used engine it is replacing, preserving continuity without creating a new schedule from scratch.

Why the distractors are wrong:

• A (Exchange) is not a standard action in the Assets application for this purpose - it's a fabricated distractor.
• B (Copy) would duplicate the schedule rather than transfer it; copying creates an independent copy and doesn't establish the inheritance relationship needed between the two assets.
• D (Split) is used to divide a single depreciation schedule across multiple assets (e.g., splitting one asset into parts), which is the opposite of what's needed here.

Memory tip: Think of "swap" like swapping a license plate - the rebuilt engine steps into the exact identity and history of the used engine, inheriting everything it had. If you "copy," you get a duplicate; if you "swap," you get the original.

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