If most of the economic benefits represented by a non-current asset will be used up in the early years of the non-current asset's useful life, then straight line depreciation would be the most suitable method of depreciation to apply to this asset.

Question

Quizplus · Accepted Answer

Straight line depreciation spreads the cost evenly over the asset's useful life, which is not suitable if the asset's benefits are used up more in the early years. An accelerated method like declining balance would be more appropriate.

If Most of the Economic Benefits Represented by a Non-Current