Frances Chance owns a small business and manages the accounting. Her company has purchased some new equipment by borrowing funds. She is required to submit financial statements to the bank so the lender can monitor the financial well being of the company to determine if the interest rate on the loan will be increased. Chance believes profits will decline this year. The current depreciation rule being used for asset additions assumes assets are in use on the first day of the month nearest the purchase date. Chance decides to change the depreciation rule so that all asset additions are considered to be in use on the first day of the following month. Be sure to include the following in your original response which should be at least four paragraphs with at least five sentences each: 1. A brief description of the scenario in your own words. 2. What decisions must managers make when applying depreciation methods. 3. Is Chance's new rule an ethical violation or a legitimate decision in computing depreciation? 4. What will be the impact of this new depreciation rule on Chance's profit margin