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    Financial Management Theory and Practice Study Set 4
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    Exam 11: Cash Flow Estimation and Risk Analysis
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    The Primary Advantage to Using Accelerated Rather Than Straight-Line Depreciation
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The Primary Advantage to Using Accelerated Rather Than Straight-Line Depreciation

Question 3

Question 3

True/False

The primary advantage to using accelerated rather than straight-line depreciation is that with accelerated depreciation the present value of the tax savings provided by depreciation will be higher, other things held constant.

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