Under What Conditions Would a Company Most Likely Adopt the Double-Declining-Balance

question 40

Multiple Choice

Under what conditions would a company most likely adopt the double-declining-balance method for financial reporting?

• A) They have high technology, robotic equipment in their plant that have a long usable life.
• B) They have a fleet of trucks where repair costs increase annually as the fleet ages.
• C) They expect the asset to lose its value more rapidly in the first few years of its life.
• D) They expect the asset to lose its value in a huge portion after some years of its use.

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Definitions:

Repeats Or Deletions

Refers to genetic mutations where segments of DNA are duplicated or missing, respectively, which can affect an organism's development or function.

Genes

Units of heredity made up of DNA that carry information for the development, function, and maintenance of organisms.

Prenatal Development

is the process of growth and development within the womb from conception to birth.

Weeks Pregnant

A way of measuring the duration of pregnancy, counting from the first day of the last menstrual period to estimate the stage of gestation.