Assume That a Company Currently Depreciates Its Fixed Assets Over

question 33

Multiple Choice

Assume that a company currently depreciates its fixed assets over 7 years. Which of the following would occur if a tax law change forced the company to depreciate its fixed assets over 10 years instead?

• A) The company's tax payment would increase.
• B) The company's cash position would increase.
• C) The company's net income would increase.
• D) Answers a and c are correct.
• E) Answers b and c are correct.

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Definitions:

"I" Statements

A communication tool that focuses on the speaker's feelings or perceptions rather than the traits of the person being addressed, aiming to reduce defensiveness.

Facial Expression

The use of facial muscles to convey emotions, thoughts, or reactions.

Assumption

Something that is accepted as true or as certain to happen, without proof.

Forms of Communication

Various methods or modalities used to convey messages and information, including verbal, non-verbal, written, and digital.