Which method can result in annual depreciation expense going up and down from period to period?
A) reducing balance
B) units-of-production
C) fair value method
D) no depreciation method.

Question

Quizplus · Accepted Answer

Units-of-production method bases depreciation expense on the actual usage of the asset, which can vary from period to period. Therefore, the annual depreciation expense can go up or down based on the level of production or usage of the asset.

Which Method Can Result in Annual Depreciation Expense Going Up