When the Unit of Production Method of Depreciation Is Used

question 80

Multiple Choice

When the unit of production method of depreciation is used, which of the following best describes depreciation expense?

• A) Depreciation expense will vary directly with output.
• B) Depreciation expense will vary directly with sales.
• C) Depreciation rate per unit will vary directly with output.
• D) Depreciation rate per unit will vary directly with sales.

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