Company a Uses an Accelerated Depreciation Method While Company B

question 39

Multiple Choice

Company A uses an accelerated depreciation method while Company B uses the straight-line method for an asset of the same cost and useful life.Which of the following statements is true?

• A)Company A will have higher depreciation expense in the early years but Company B will have the higher expense towards the end of the asset's useful life.
• B)Company A will consistently have higher depreciation expense until residual value is reached.
• C)Company B will have higher depreciation expense in the early years but Company A will have the higher expense towards the end of the asset's useful life.
• D)Company B will consistently have higher depreciation expense until residual value is reached.

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Positive Emotions

Feelings that are perceived as pleasant or desirable, such as joy, love, and gratitude, which can contribute to one's overall well-being and happiness.

Optimal Level

The most advantageous or effective state or degree of something for a specific purpose or outcome.

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Social Evolution

The gradual development and progression of societies and cultures over time through mechanisms such as adaptation, selection, and innovation.