Final answer:
If you do not consider salvage value when computing depreciation expense, you must be using the sum-of-years'-digits method of depreciation.
Step-by-step explanation:
If you do not consider salvage value when computing depreciation expense to be taken on an asset, you must be using the A. sum-of-years'-digits method of depreciation.
Depreciation is the gradual reduction of the value of an asset over time. It is used to allocate the cost of an asset over its useful life. There are different methods of calculating depreciation, such as the straight-line method, declining-balance method, sum-of-years'-digits method, and activity or production method.
The sum-of-years'-digits method is a depreciation method that accelerates the depreciation expense in the earlier years of the asset's life. It takes into account the sum of the digits of the asset's useful life. Since salvage value is not considered in the calculation, this method assumes that the asset will have no value at the end of its useful life.