3. Use the information in Table 1.2 to determine the items listed below for the Accelerated Depreciation Method and for the Straight Line Depreciation Method. The company has 20,000 shares of stock. Item Revenue Costs Tax Rate (%) Depreciable Investment Depreciation Straight Line Depreciation-Accelerated (MACRS) Amount ($) Amount (%) 1,000,000 800,000 40 400,000 40,000 10 80,000 20 3.1 Use the Accelerated Depreciation method and determine: (a) Gross Profits (b) Net Profits (e) Taxes (d) Cash Flows (e) Net Profits/share 3.2 Use the Straight Line Depreciation method and determine: (a) Gross Profits (b) Net Profits (c) Taxes (d) Cash Flows (e) Net Profits/share 3.3 Determine the amount of deferred taxes and the difference in the net profits/share and the difference in cash flows between the Accelerated Depreciation and Straight Line Depreciation methods. 3.4 An error was made in determining the costs and instead of $800,000 they were $940,000. What does this difference make in the results? Calculate the Cash Flows and Net Profits/Share using both depreciation methods and compare the results