Elective expensing has the following characteristic:

Question

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Elective expensing allows businesses to write-off the full cost of a qualifying asset in the year it is acquired, whereas MACRS depreciation spreads the cost of the asset over a period of years. This allows for a more rapid write-off of the asset's cost, potentially reducing taxable income in that year. It is not exclusively used for financial reporting and is not only beneficial to large businesses.

Elective Expensing Has the Following Characteristic