One Difference Between the Double-Declining-Balance Method and the Straight-Line Method

Multiple Choice

One difference between the double-declining-balance method and the straight-line method is that the double-declining-balance method:

A) reduces book value below residual value.
B) does not consider the useful life of the asset in the calculation of depreciation.
C) cannot be used for tax purposes.
D) uses book value instead of depreciable cost in the calculation of depreciation.