9. Is it better to depreciate a capital investment all else equal, over 4 years or 2? Assume straight line depreciation for both so in the first case the depreciation is 25% for each of years 1-4 and in the second case 50% in each of years 1 and 2. The managerial balance sheets at the end of 2010 and, five years later, at the end of 2015 are shown below for Holdco Incorporated End of 2010 Invested Capital Capital Employed Cash WCR Net Fixed Assets $60 $2800 $2300 $500 $2860 $380 Short term Debt $480 Long term financing $2000 Long term debt Total Invested Capital $2860 Shareholder equity Total Capital Employed End of 2015 Invested Capital Capital Employed Cash WCR Net Fixed Assets $350 Short term Debt $530 Long term financing $1000 Long term debt $100 $1780 $780 $1000 $1880 Total Invested Capita $1880 Shareholder equity Total Capital Employed