After a number of very successful years, Company A's profits were declining. Someone from the company suggested if they changed their depreciation from the double-declining-balance method to the straight line method their depreciation expense would go down thus showing an improvement in net income. What might be the final result of this change in policy?

Answer rating: 100% (QA)

Changing the depreciation method from the doubledecliningbalance method to the straightline method can indeed have an impact on a companys financial s... View the full answer