Use of the double-declining balance method
A) results in a decreasing charge to depreciation expense.
B) means salvage value is not deducted in computing the depreciation base.
C) means the book value should not be reduced below salvage value.
D) all of these answers are correct.

Question

Quizplus · Accepted Answer

The double-declining balance method of depreciation results in a decreasing charge to depreciation expense over the asset's useful life (A), does not deduct the salvage value in computing the depreciation base initially (B), and ensures that the book value is not reduced below the salvage value by adjusting the final year's depreciation (C). Therefore, all of these statements are correct.

Use of the Double-Declining Balance Method