Defferntiate between expected and unexpected obsolescence - Economics - National Income Accounting

Question

Defferntiate between expected and unexpected obsolescence

Komal Rani · Accepted Answer

Dear student, Expected obsolescence refers to loss in value of
asset through use (obsolescence) that purchaser expects to incur
when asset is acquired It is part of consumption of fixed capital
and its not a capital gain Unexpected obsolescenceÂ is
an element Â of depreciation as it decreases the market
value of the asset and also leads to decrease in output in terms of
quality and quantity Thanks and regards