4. Which methods is preferred for determining the firms taxes? 5. Which method is preferred for determining the firms value (accounting purpose)? 6. Is using two accounting methods ethical?

Tables: Straight-line depreciation

Straight-line depreciation 10% PW

Double declining balance depreciation

Double declining balance depreciation 10% PW

100% bonus depreciation

100% bonus depreciation 10% PW

MACRS depreciation

MACRS depreciation 10% PW

Please help me answer these questions with the corresponding tables that I am confused and do not know whether to use the depreciation method tables or the PW tables. Please help me, it's very important to me class. Thanks a lot!

Year C=12000-B Annual Depreciation Accumulated Depreciation End of Year Book Value $2,400 $2,400 $9,600 $2,400 $4,800 $7,200 $2,400 $7,200 $4,800 $2,400 $9,600 $2,400 $2,400 $12,000 $0 Year Annual Depreciation $2,400 $2,400 $2,400 $2,400 $2,400 C=12000-B PW=A/(1.1^N) Accumulated Depreciation End of Year Book Value Present Worth $2,400 $9,600 $2,181.82 $4,800 $7,200 $1,983.47 $7,200 $4,800 $1,803.16 $9,600 $2,400 $1,639.23 $12,000 $1,490.21 SUM $9,097.89 $0 Year Beginning Book Value $12,000 $7,200 $4,320 $2,592 $1,555 B=A*40% Annual Depreciation $4,800 $2,800 $1,728 $1,037 $622 D=12000-C Accumulated Depreciation End of Year Book Value $4,800 $7,200 $7,680 $4,320 $9,408 $2,592 $10,445 $1,555 $11,067 $933 IN Year A B=A*40% Beginning Book Value Annual Depreciation $12,000 $4,800 $7,200 $2,800 $4,320 $1,728 $2,592 $1,037 $1,555 $622 D=12000-C PW=B/(1.14N) Accumulated Depreciation End of Year Book Value Present Worth $4,800 $7,200 $4,363.64 $7,680 $4,320 $2,380.17 $9,408 $2,592 $1,298.27 $10,445 $1,555 $708.15 $11,067 $933 $386.26 SUM $9,136.48 Year Annual Depreciation $12,000 C=12000-B Accumulated Depreciation End of Year Book Value $12,000 $12,000 $12,000 $12,000 $12,000 Alw Year Annual Depreciation $12,000 C=12000-B PW=A/(1.1^N) Accumulated Depreciation End of Year Book Value Present Worth $12,000 $10,909.09 $12,000 $12,000 $12,000 $12,000 SUM $10,909.09 Year B=12000*A MACRS Depreciation Rate (TableA-1) Annual Depreciation 20.00% $2,400 32.00% $3,840 19.20% $2,304 11.52% $1,382 11.52% $1,382 5.76% $691 C=12000-B Accumulated Depreciation End of Year Book Value $2,400 $9,600 $6,240 $5,760 $8,544 $3,456 $9,926 $2,074 $11,309 $691 $12,000 Year B=12000*A MACRS Depreciation Rate (TableA-1) Annual Depreciation 20.00% 32.00% 19.20% 11.52% 11.52% 5.76% $2,400 $3,840 $2,304 $1,382 $1,382 $691 C=12000-B PW=B/(1.1^N) Accumulated Depreciation End of Year Book Value Present Worth $2,400 $9,600 $2,181.82 $6,240 $5,760 $3,173.55 $8,544 $3,456 $1,731.03 $9,926 $2,074 $944.20 $11,309 $691 $858.36 $12,000 $390.16 SUM $9,279.13