If an asset generates revenues evenly over its useful life,which depreciation method should be used?
A)capital cost allowance
B)declining-balance
C)units-of-activity
D)straight-line

Question

Quizplus · Accepted Answer

Straight-line depreciation method is the best choice for an asset that generates revenues evenly over its useful life. This method allocates an equal amount of depreciation expense each year over the asset's useful life, resulting in a steady reduction in the book value of the asset. This is in line with the even revenue generation pattern of the asset.

If an Asset Generates Revenues Evenly Over Its Useful Life,which