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Which Statement Concerning the Diminishing-Balance Method of Depreciation Is True

Question 48

Multiple Choice

Which statement concerning the diminishing-balance method of depreciation is true?


A) It charges the same amount of depreciation each period.
B) It applies a declining percentage factor to the asset's original cost.
C) It is also known as the units-of-production method.
D) It is an appropriate method when proportionately more of the asset's benefits are consumed in the early years of its life.

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