In the fixed-percentage-of-declining-balance depreciation method,the book value of the asset is multiplied by:
A)An increasing depreciation rate.
B)A constant depreciation rate.
C)A decreasing depreciation rate.
D)A rate that changes each year but is determined from a table.

Question

Quizplus · Accepted Answer

The fixed-percentage-of-declining-balance depreciation method involves multiplying the book value of the asset by a constant depreciation rate each year, not an increasing, decreasing, or variably determined rate.

In the Fixed-Percentage-Of-Declining-Balance Depreciation Method,the Book Value of the Asset