Which of the following statements is true regarding depreciation?
A) All expenses that are deductible for accounting purposes are also deductible for tax purposes.
B) All expenses that are deductible for tax purposes are also deductible for accounting purposes.
C) Tax deductions (like depreciation) are cash savings.
D) Buying a long-term asset to generate income entitles a company to a one-year tax deduction.
Correct Answer:
Verified
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