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    Question

    Which method of depreciation results in higher

    depreciation in earlier years?
    A Straight line method Correct Answer Incorrect Answer
    B Units of production method Correct Answer Incorrect Answer
    C Sum-of-years’ digits (SYD) method or Diminishing balance method Correct Answer Incorrect Answer
    D No depreciation method does this Correct Answer Incorrect Answer
    E Revaluation method Correct Answer Incorrect Answer

    Solution

    Accelerated methods like SYD and DDB allocate higher depreciation earlier.

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