Cost minus residual value divided by useful life,in years,is the formula for the:

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Quizplus · Accepted Answer

The formula of cost minus residual value divided by useful life in years is the formula for the straight-line depreciation method, which allocates the same amount of depreciation expense to each year of the asset's useful life. The units-of-production method calculates depreciation based on the number of units produced or hours used, while the double-declining-balance method accelerates the depreciation expense in the early years of an asset's life. The modified accelerated cost recovery method is a tax-based depreciation method used for tax purposes. Therefore, A is the best choice.

Cost Minus Residual Value Divided by Useful Life,in Years,is the Formula