The declining-balance method of depreciation is appropriate for companies that expect their equipment or other assets to become obsolete fairly rapidly.

Question

Quizplus · Accepted Answer

The declining-balance method of depreciation accelerates the rate of depreciation in the early years and is ideal for assets that lose their value quickly, such as technology equipment or vehicles. Therefore, the statement is true.

The Declining-Balance Method of Depreciation Is Appropriate for Companies That