FIN 534 A+ AnswersWhich of the following statements is CORRECT?A. Using MACRSdep

FIN 534 A+ AnswersWhich of the following statements is CORRECT?A. Using MACRSdepreciation rather than straight line normally has the effect ofslowing down cash flows and thus reducing a projects forecastedNPV.B. Since depreciation isa cash expense the faster an asset is depreciated the lower theprojected NPV from investing in the asset.C. Corporations must useMACRS depreciation for both stockholder reporting and taxpurposes.D. Under current laws andregulations corporations must use straight-line depreciation forall assets whose lives are 5 years or longer.E. Using MACRSdepreciation rather than straight line normally has the effect ofspeeding up cash flows and thus increasing a projects forecastedNPV.