Using the Straight-Line Depreciation Method Will Cause a Company to Incur

question 175

Multiple Choice

Using the straight-line depreciation method will cause a company to incur ____ tax expense in the early years of an asset's life than they would experience using an accelerated method of depreciation.

• A) more
• B) less
• C) equal
• D) This cannot be determined from the information given.

---

Definitions:

Employee-At-Will

A contractual relationship in which an employee can be dismissed by an employer for any reason not prohibited by law and without warning.

Wrongful Discharge

An employment termination made in violation of legal rights or company policy, often lacking legitimate or lawful reason.

Exceptions

Provisions that exclude or modify the general applicability of a rule, contract, or statute.

Sue

To initiate legal proceedings against another party, typically to seek redress for a grievance or enforcement of a right.