As seen on an income statement:

a	interest is deducted from income and increases the total taxes incurred.
b	depreciation reduces both the pretax income and the net income.
c	depreciation is shown as an expense but does not affect the taxes payable.
d	the tax rate is applied to the earnings before interest and taxes when the firm has both depreciation and interest expenses.
e	interest expense is added to earnings before interest and taxes to get pretax income.