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All fixed assets, except land, lose their usefulness and, thus, are said to __________________________

User Axel Puig
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Final answer:

All fixed assets except land depreciate over time. Collectibles, which can include paintings, fine wine, and jewelry, provide services and might sell for a higher price in the future, but they typically don't offer high returns consistently.

Step-by-step explanation:

All fixed assets, except land, lose their usefulness and, thus, are said to depreciate. Depreciation is the process through which the cost of a tangible asset is allocated over its useful life. Collectibles, such as paintings, fine wine, jewelry, antiques, or baseball cards, often provide a service, like aesthetic enjoyment or collectible value, and may be sold for a potentially higher selling price in the future. However, it is important to note that while some collectibles can appreciate and sell for more than the original purchase price, the evidence suggests that one should not expect a consistently high rate of return from such investments over an extended period.

User Shmil The Cat
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