MACRS is:
A)a government program to assist small businesses in capital budgeting.
B)a system of accelerated depreciation that companies are free to use or not for financial purposes.
C)a system of accelerated depreciation dictated by the government for tax purposes.
D)the Mandatory Accounting Credit and Reserve System.

Question

Quizplus · Accepted Answer

MACRS stands for "Modified Accelerated Cost Recovery System," which is a system of accelerated depreciation dictated by the government for tax purposes. It specifies the depreciation rates that a business must use when depreciating assets for tax purposes, allowing for a quicker write-off of the asset's value.

MACRS Is