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[CFA level 1模拟真题]Version 2 Questions-Q29

Q29. Assume U.S.GAAP (generally accepted accounting principles)applies unless otherwise noted.

All else equal, compared with using the straight-line method of depreciation, using an accelerated of depreciation in the early years of an asset's life would most likely result in the firms:

A. Shareholder's equity.

B. Asset turnover ratios.

C. Cash flow from operations.

D. Cash flow from investing activities.

 

答案和详解如下:

 

Q29. A   07 Modular Level I, Vol. 3, PP.431    Study Session 9-43.e

An accelerated method of depreciation produces greater expenses in the early years and lower net income, which in turn lowers the retained earning, resulting in a decrease fn shareholds' equity.

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d

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a

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b

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Thanks

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