Saved Question 5 (1.5 points) The accountant for a new company Kerry's Hogwarts Hats - which just commenced operations has been asked to choose a depreciation policy and an inventory policy. Harry told the accountant that his hat-making equipment would get the most use in the early years of his operation. The economy is also undergoing a period of deflation. If the accountant wanted to maximize profit in the later years, she would choose the following: A) Diminishing balance and average cost B) Unit of production and FIFO C) Diminishing balance and FIFO D) Straight line and FIFO Question 1 (1.5 points) Saved John's Cabin-construction equipment operates on a year-round basis. Older equipment is less productive and requires more maintenance than newer equipment. To best comply with the matching principle, he will choose which of the following depreciation methods: A) First-in, first-out B) Straight-line C) Diminishing balance D) None of the answers are correct