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Natural resources are: Multiple Choice Tangible assets used in the operations of the business. Consumable assets...

Natural resources are:

Multiple Choice

  • Tangible assets used in the operations of the business.

  • Consumable assets such standing timber, mineral deposits, and oil and gas fields.

  • Not subject to allocation to expense over their useful lives.

  • Current assets because they are depleted.

  • Depleted using a straight-line method.

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Answer #1

Answer is

"Consumable assets such standing timber, mineral deposits, and oil and gas fields."

Explanation:

Natural resources are consumable assets. These are intangible in nature and these are fixed assets not current assets. Natural resources are subjected to expense over their useful lives. Natural resources are non-renewable in nature and cannot be recycled. Depletion expenses are debited to income statement for consumption of natural resources.

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