Furniture Barn and Furniture World purchased identical equipment having an estimated useful life of 5 years. Furniture Barn uses the straight-line depreciation method whereas Furniture World uses the double-declining-balance method of depreciation. Assuming the two entities are similar in all other respects, which of the following statements is correct concerning the equipment? Hint: Without worrying about amounts, graph depreciation expense over the 5 years.

a. Furniture Barns depreciation expense will be greater in the second year.

b. Furniture Worlds equipment book value will be greater at the end of year one.

c. Furniture Barns net income will be greater in year nine.

d. Furniture Worlds equipment book value will be less at the end of year two