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  3. 1. many times companies use accelerated depreciati

1. Many times companies use accelerated depreciation on equipment for tax purposes and the straight...

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Accounting

1. Many times companies use accelerated depreciation on equipment for tax purposes and the straight line method for financial reporting. In such instances how, in the first year of the assets life, do we compute tax expense on the financial statements and how do we account for the difference between that tax expense and the income tax actually paid for the year? What happens later in the assets life?

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