Question

When depreciation is computed for partial periods under a decreasing charge depreciation method, it is necessary to a. charge a full year's depreciation to the year of acquisition. b. determine depreciation expense for the full year and then prorate the expense between the two periods involved. c. use the straight-line method for the year in which the asset is sold or otherwise disposed of. d. use a salvage value equal to the first year's partial depreciation charge. Use the partial year depreciation rule.

Answer 1

The answer is letter B.

Step-by-step explanation:

Determine depreciation expense for the full year and then prorate the expense between the two periods involved.