Question - Assume a fixed asset cost of $10,000 and a useful life of 5 years. In commencing to compute double-declining depreciation, the double-declining factor is computed as follows: First the $10,000 cost of the fixed asset is divided by the asset's useful life of 5 years to equal 20%, or a factor of 0.20. Next, multiply the factor of 0.20 by what amount to arrive at the proper double-declining factor?
a. 10%
b. 1.5
c. 2
d. none of these is correct