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    Question

    Which depreciation method results in higher depreciation

    expense in the initial years?
    A Straight-Line Method Correct Answer Incorrect Answer
    B Sum-of-the-Years-Digits Method Correct Answer Incorrect Answer
    C Units of Production Method Correct Answer Incorrect Answer
    D Written Down Value Method Correct Answer Incorrect Answer
    E Revaluation Model Correct Answer Incorrect Answer

    Solution

    The Written Down Value (WDV) method charges higher depreciation in early years as it applies a fixed rate on a declining balance.

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