Accounting for IGCSE & O level - Accounting Procedures (Section 22 - No. 18)

Which depreciation method often results in a higher depreciation expense in the earlier years of an asset's life and a lower expense in later years?
Straight-line method
Units of production method
Reducing balance method
Sum-of-the-years' digits method

Explanation

The reducing balance method typically fronts loads of depreciation expense during the early years.

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