💰 CPA Exam Prep

The double-declining balance depreciation method:

A Uses straight-line rates
B Applies twice the straight-line rate to the declining book value
C Produces equal annual charges
D Has no salvage value

✓ Correct Answer: Option B

DDB rate = 2 × (1/useful life). Applied to beginning book value each year. Accelerated method—higher depreciation earlier.

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