2. With respect to Statement 2, what would be the most likely effect in 2010 if AMRC were to switch to an accelerated depreciation method for both financial and tax reporting?
A. Net profit margin would decrease.
B. Total asset turnover would increase.
C. Cash flow from operating activities would increase
2. C is correct. In 2010, switching to an accelerated depreciation method would increase depreciation expense and decrease income before taxes, taxes payable, and net income. Cash flow from operating activities would increase because of the resulting tax savings.
A和B我怎么看着都对? | 
发表于 2011-4-15 10:46
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