Which of the Following Statements Is CORRECT

question 38

Multiple Choice

Which of the following statements is CORRECT?

• A) Under current laws and regulations, corporations must use straight-line depreciation for all assets whose lives are 5 years or longer.
• B) Corporations must use the same depreciation method (e.g., straight line or accelerated)for stockholder reporting and tax purposes.
• C) Since depreciation is not a cash expense, it has no effect on cash flows and thus no effect on capital budgeting decisions.
• D) Under accelerated depreciation, higher depreciation charges occur in the early years, and this reduces the early cash flows and thus lowers a project's projected NPV.
• E) Using accelerated depreciation rather than straight line would normally have no effect on a project's total projected cash flows but it would affect the timing of the cash flows and thus the NPV.

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Definitions:

Traditional Promotional

Marketing strategies that use conventional media channels such as television, radio, print, and billboards to advertise products or services.

Ethics Policies

Guidelines and principles designed to govern behavior and decision-making within an organization, ensuring actions are morally right and in compliance with standards.

Behaviorally Targeted

Advertising or marketing strategies that use individuals' behavior and preferences to tailor messages or offers.

Remarketing

A digital marketing strategy that targets users who have previously interacted with a website or mobile app, aiming to encourage them to return.