Multiple Choice
The declining-balance method of depreciation produces:
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8. Long Lived Assets
Depreciation: Declining Balance
Back8. Long Lived Assets
Depreciation: Declining Balance
- Multiple ChoiceThe formula for calculating declining balance depreciation is the depreciation rate per year multiplied by which of the following?84views
- Multiple ChoiceA company purchased a machine for \$10,000 with an estimated useful life of 5 years and no salvage value. Using the double-declining-balance method, what is the depreciation expense for the second year?35views
- Multiple ChoiceWhich of the following best describes the double-declining balance (DDB) method of depreciation?46views
- Multiple ChoiceWhich depreciation method results in higher depreciation expense when the asset is used more?61views
- Multiple Choice
ABC Company purchased a new machine on January 1, Year 1 for \$44,000. The company expects the machine to last ten years. The company thinks it could sell the scrap metal from the machine for \$4,000 at the end of its useful life. If the company uses the double-declining method for depreciation, what will be the net book value of the machine on December 31, Year 2?
322views3rank - Multiple Choice
DBQ Company purchased a machine on January 1, Year 1 for \$60,000. The company estimated a five year useful life and \$8,000 residual value. If the company uses the double-declining-balance method for depreciation, what will be the amount of accumulated depreciation on December 31, Year 2?
311views - Multiple Choice
XYZ Company purchased a machine on January 1, 2018 for \$120,000. The company estimated a four year useful life and \$4,000 residual value. If the company uses the double-declining-balance method for depreciation, what will be the amount of depreciation expense for the year 2021?
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