Why is the depreciable amount (the asset's cost less residual value) used in the straight-line and units-of-production

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Why is the depreciable amount (the asset's cost less residual value) used in the straight-line and units-of-production methods but not in the diminishing-balance method?

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Financial Accounting Tools for Business Decision Making

ISBN: 978-1118644942

6th Canadian edition

Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso, Barbara Trenholm, Wayne Irvine

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Question Posted: Jan 11, 2017 10:17 AM

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Why is the depreciable amount (the asset's cost less residual value) used in the straight-line and units-of-production

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If the residual value was deducted for the diminishing balance method the ca...View the full answer

Financial Accounting Tools for Business Decision Making

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