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Which of the following statements is CORRECT? Question 4 options: Bonus (or accelerated) depreciation reduces near-term accounting earnings and hence reduces project NPV For fully
Which of the following statements is CORRECT?
Question 4 options:
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Bonus (or accelerated) depreciation reduces near-term accounting earnings and hence reduces project NPV
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For fully depreciated assets, the depreciation tax shield is zero
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The amount of the depreciation tax shield depends on the expected inflation rate
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Once an asset is fully depreciated, its market value is forever zero
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