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The depreciable base (asset cost minus salvage value) is spread across the asset’s useful life using one of four standard accounting methods you select: straight-line divides the base evenly across every year; declining balance and double-declining balance apply a fixed percentage (150% or 200% of the straight-line rate) to the asset’s remaining book value each year, front-loading the expense; and sum-of-years-digits weights early years more heavily using a fraction based on the years remaining.
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