An increase in depreciation expense will (other things equal):
A) increase net income.
B) decrease net income.
C) increase taxable income.
D) decrease the market value of assets.

Name: An increase in depreciation expense will (other things equal): A) increase net income. B) decrease net income. C) increase taxable income. D) decrease the market value of assets.
Brand: Quizplus
Rating: 4.9 (37 reviews)

Question

Quizplus · Accepted Answer

An increase in depreciation expense is a non-cash expense that reduces net income. Other things being equal, it will decrease net income.

An Increase in Depreciation Expense Will (Other Things Equal)