A company uses straight line depreciation.However,depreciation expense is different than you expected it to be.What could be the reason for this difference?

Question

Quizplus · Accepted Answer

Straight line depreciation is calculated by taking the difference between the original cost of the asset and its residual value, and then dividing it by the number of useful years of the asset. If the residual value used for the depreciation calculation is different than the actual residual value, then the depreciation expense will be different than expected.

A Company Uses Straight Line Depreciation