Using Different Depreciation Methods for Book Purposes Versus Tax Purposes

question 163

Multiple Choice

Using different depreciation methods for book purposes versus tax purposes for the same asset is

• A)not allowed since the amount can only be calculated one way or the other,not both.
• B)the direct result of the differing goals of financial and tax accounting.
• C)contrary to GAAP.
• D)against the Internal Revenue Code,and as such,against the law.