When compared to the other methods of depreciation, the double-declining-balance method of depreciation gives depreciation expense that is:
A) less in the earlier periods.
B) more in the earlier periods.
C) approximately the same in earlier periods as with other methods.
D) the same from year to year.

Question

Quizplus · Accepted Answer

The double-declining-balance method typically gives a higher depreciation expense in the earlier periods, as it involves multiplying the book value by a higher percentage than the straight-line or units-of-production methods. Over time, the depreciation expense under this method will decrease, but it is generally higher than the other methods in the early years.

When Compared to the Other Methods of Depreciation, the Double-Declining-Balance