52-6 DEPRECIATION METHODS Charlene is evaluating a capital budgeting project that should last for 4 years. The project requires $800,000 of equipment and is eligible for 100% bonus straight-line depreciation is better for the analysis. Under straight-line depreciation, the WACC is 8%, and its tax rate is 25%. cost of the equipment would be depreciated evenly over its 4-year life. The company's a. What would the depreciation expense be each year under each method? b. Which depreciation method would produce the higher NPV, and how much higher would it be? nroinnt whose estimated