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double-declining-balance depreciation is most commonly used by businesses for financial reporting purposes. true or false

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Final answer:

The assertion that double-declining-balance depreciation is most commonly used for financial reporting is false; businesses usually prefer the straight-line method for such reports.

Step-by-step explanation:

The statement that double-declining-balance depreciation is most commonly used by businesses for financial reporting purposes is false. Instead, businesses tend to use the straight-line depreciation method for reporting purposes because it spreads the cost of an asset evenly over its useful life. The double-declining-balance method is an accelerated depreciation method that expenses more of the asset's cost in the early years of the asset's life, and it is more often used for tax purposes rather than financial reporting.

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User Alexander Keth
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