Units-of-production is an appropriate depreciation method to use when
A) it is impossible to determine the productivity of the asset.
B) the asset's use will be constant over its useful life.
C) the company is a manufacturing company.
D) the asset's use varies significantly from one period to another.

Question

Quizplus · Accepted Answer

Units-of-production is suitable when the asset's use varies significantly, as it allocates depreciation based on actual usage rather than time.

Units-Of-Production Is an Appropriate Depreciation Method to Use When