Which of the following statements about depreciation is correct? A company:
A)must use the same depreciation method for all classes of assets consistently over time.
B)may use different methods of depreciation for any class of asset and may change methods as it sees fit.
C)must use straight-line depreciation for tax reporting.
D)may use different depreciation methods for different classes of assets from one year to the next.

Question

Quizplus · Accepted Answer

Different depreciation methods can be used for different classes of assets provided the methods are used consistently over time so that financial statement users can compare results across periods.

Which of the Following Statements About Depreciation Is Correct? a Company