Which of the Following Depreciation Methods Applies a Uniform Depreciation

question 21

Multiple Choice

Which of the following depreciation methods applies a uniform depreciation rate each period to an asset's book value?

• A) Straight-line
• B) Units-of-production
• C) Declining-balance
• D) Sum-of-the-years'-digits

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Definitions:

Labour Budget

An estimation of the total cost of labor needed to meet production goals, often part of a company's overall budgeting process.

Selling and Administrative

Expenses associated with the general operations of a business, including costs related to sales, marketing, and the management of the company.

Variable Cost

Costs that vary directly with the level of production or sales volume, such as materials and labor.

Fixed Cost

A cost that does not change with an increase or decrease in the amount of goods or services produced or sold.