The Straight-Line Depreciation Method and the Double-Declining-Balance Depreciation Method

question 153

Multiple Choice

The straight-line depreciation method and the double-declining-balance depreciation method:

• A) Produce the same total depreciation over an asset's useful life.
• B) Produce the same depreciation expense each year.
• C) Produce the same carrying amount each year.
• D) Are acceptable for tax purposes only.
• E) Are the only acceptable methods of depreciation for financial reporting.