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Assume Global could increase it's annual depreciation in 2 0 1 9 by $ 1 million. If Global's tax rate is 2 6 % ,

Assume Global could increase it's annual depreciation in 2019 by $1 million. If Global's tax rate is 26%, what would be the effect of this depreciation increase on Global's cash at the end of the year?
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If would increase by $ 260 thousand because of the tax savings on extra depreciation.
It would decrease by $ 740 thousand because of the extra after-tax depreciation expense.
It would not change because depreciation is a non-cash expenditure.
It would decrease by $ 1 million because of the added depreciation expense.
It would increase by $ 740 thousand because of the extra after-tax depreciation benefit.

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