Quiz 61: Declining Balance Method of Depreciation

Test your knowledge of mdct.ru with our declining balance method of depreciation quiz.

Declining balance depreciation is one method of calculating the depreciation expense on long term assets such as property, plant, and equipment. The method is sometimes referred to as the reducing balance method or the diminishing balance method of depreciation.

If you need a refresher course on the use of the declining balance method of depreciation, take a look at our tutorial on the subject and our basics of bookkeeping tutorials.

Our declining balance depreciation calculator is available if you need assistance in completing the quiz.

Start the Declining Balance Method of Depreciation Quiz

For each question click on an answer to reveal whether its Right! or Wrong.

1. Using the declining balance method at a rate of 25% per year, what is the depreciation expense for year 2 on a asset costing 100,000?
2. If an asset costing 10,000 has a salvage value of 2,000, what is the depreciation expense for year 5 using the declining balance method at a rate of 20% ?
3. An asset costs 11,800 and has a salvage value of 2,800 after 5 years. What is the declining balance method depreciation rate%?
4. If an asset costing 16,000 is depreciated using the declining balance method at the rate of 40%, what is the net book value of the asset at the end of year 2?
5. If an asset has a cost of 6,000 and a salvage value of 4,000, what is the declining balance method depreciation expense for year 2 if the depreciation rate is 25% ?
6. If the declining balance method depreciation rate used on an asset is 20%, what is the cost of the asset if the net book value at the end of year 1 is 9,600?
7. What is another name for the declining balance method?
8. Using the declining balance method the depreciation expense each year is?
9. If an asset has a cost of 14,000 and a net book value at the end of year 1 of 11,900, what is the declining balance method depreciation rate applied?
10. If an asset costs 20,000 and is depreciated using the declining balance depreciation method at a rate of 33%, what is the depreciation expense for year 5?

Try Another mdct.ru Quiz

This declining balance method of depreciation quiz is one of many of our online quizzes which are used to test your knowledge of mdct.ru, discover another at the links below.

Quiz 61: Declining Balance Method of Depreciation March 14th, 2017

Related pages

overhead cost variancepayment voucher template pdfcompany bookkeeping templatesadjusting trial balance examplesemi annual amortization schedulepv of a lump sumhow to figure straight line depreciationaccounting mcqs testexcel pmtbank overdraft asset or liabilitybalance sheet tutorial for beginnerssample money receipt formatasset write off journal entrypresent value of a perpetuity calculatorledger sheets to printexcel chart of accounts templateinterest revenue journal entrycash operating cycle definitionfuture value of annuity due calculatoractual manufacturing overhead costthe formula for the gross margin percentage ishow to calculate mark upprepaid expense on balance sheethow to compute for effective interest ratewhat is an adjusting entry in accountingtabel present value lengkapfuture value of annuity formulacompute contribution marginimpairment loss accounting entrynormal balance for dividendsannuity due present valuedepreciation formula straight linedepletion of coalpresent value of an annuity charttemplate for voucheraccounts receivable turnover formulajournal entry for expense accrualhow to calculate the payback periodperiodic and perpetual inventory systemscalculating depreciation expense straight-line methodpercentage of completion revenue recognition journal entriesgaap acronyminterpretation of gearing ratioaccounting for credit memossimple bank reconciliation templateactual manufacturing overheadadjusting journal entry examplehow to calculate margin and markupnet salvage value formulaspreadsheet accounts templatedefine imprestpresent value of annuity due of 1 tablecogs equationaccounting entry for accrued interestaccrual to cash adjustment worksheettemplate for a voucherthe journal entry for recording an operating lease payment wouldbeginning finished goods inventory formulaflexible budget exampleaccounting ledger templateirr ratio formulaconstant growth perpetuityretaining earnings formulatrial balance entries examplesexcel chart of accounts templatethe accounting cycle 10 stepsnpv perpetuityaccrued expenses in income statementexample of liquidation and distribution accounthow to record depreciation expense in journal entryinventory adjustment journal entryamortisation of assetseffective interest rate excelaccelerated depreciation methodaccounting horizontal analysisthe amortization of bond discountstraight-line discount amortization