I need the blank answers

1) ?

A correct

B incorrect

2) ?

A Straight Line

B MACRS

3) ?

A Less

B More

4) ?

A Legal

B Illegal

5) ?

A a

B not a

Book versus Tax Depreciation tor Dni nry Service purchased a delivery truck for $28,200. The truck wil have a useful e af six ynars and zero salvage value. For the purposns of preparing finan statements, Payton is planning to use straight-line depreciation. For tax purposes, Payton followS MACRS. Depreciation expense using MACRS is $5,650 in Year 1, $9,025 in Year 2, $5,400 in Year 3, $3,250 in each of Years 4 and 5, and $1,625 in Year 6 1. what is the difference between straight-line nd MACS depreciation expense foreach of the six years? Tran nswer is zero, onter "r MACRS Year .700 4.700 4,700 4,700 ,700 4,700 28,200 5,650 ,025 5,400 3,250 ,250 4 1,625 28,200 -950 4,325 700 S1450 1,45 3,075 Grand Ttal 2 Payton's president has asked why you use one method for the books and another for tax caloulations. "Con you do this? Is it legal? Don't we take the same total depreciation either way? he asked Write a brief memo answering his questions and explaining the benefits of using two methods for depreciation. The presidnnt is that all other things being equal, Payton should prefer years in the life of the truck. The memo shouid also stress to the president that not only is it use one method of deprediation for the books and a dilferent one for tax purposes. that a total of $28,200 will be deducted as depreciation uner nither method over the six-year life. However, the memo should stress for taxes, since it results in the payment of income tax during the early violation of GAAP to