Evaluate each of the following statements (TRUE/FALSE) and provide a one-two sentence(s) long explanation for your answer (graphs, charts, formulas, and short calculations can be used as an explanation, too). Keep in mind that a statement is false if there is at least one case when the argument does not hold. To receive full credit for each statement, both the answer and the explanation must be correct.

A firm has purchased a new piece of equipment for $420,000. The equipment falls under class 10 and has the applicable CCA rate of 30%. If post-Nov 2018 CCA rules apply to the purchase, the book value of the equipment three years after the purchase will be smaller than its book value three years after the purchase under the pre-Nov 2018 CCA rules.