The modified accelerated cost recovery system (MACRS)is acceptable for financial accounting purposes because it matches the costs of assets with the revenues produced by those assets.

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MACRS is a method of depreciation used for tax purposes in the United States to recover the cost of assets over a specified life. It does not focus on matching the costs of assets with the revenues they produce, which is a principle more closely associated with financial accounting purposes.

The Modified Accelerated Cost Recovery System (MACRS)is Acceptable for Financial