Which statement accurately describes the calculation of depreciation expense in the straight-line depreciation method?
Answer
A
The depreciation expense increases each year as the asset ages and its efficiency decreases.
B
The depreciation expense is determined by the market value of the asset at the beginning of each year.
C
The depreciation expense is calculated as the difference between the salvage value and the book value at the end of the asset's useful life.
D
The depreciation expense is the same each year, calculated as the difference between the asset's cost and its salvage value, divided by the useful life of the asset.