Prior to passage of the Tax Cuts and Jobs Act, most large corporations faced a 35% marginal tax rate. Under the new tax law, the marginal tax rate is 21%. In terms of the effect of this tax change on a firm's decision to purchase assets that it will use for several years ________.
A) the tax change is beneficial because it lowers the after-tax cost of these assets
B) the tax change increases the tax benefits that the firm obtains when it acquires long-lived assets, whether it immediately deducts the full cost of those assets or depreciates the cost over time
C) the tax law reduces the tax benefits that a firm obtains when it acquires long-lived assets, whether it immediately deducts the full cost of those assets or depreciates the cost over time
D) the tax change has no effect because depreciation does not affect a firm's cash flow
C) the tax law reduces the tax benefits that a firm obtains when it acquires long-lived assets, whether it immediately deducts the full cost of those assets or depreciates the cost over time
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The introduction of Diet Coke by the Coca-Cola Company is an example of ________
A) line extension B) brand harmonization C) category extension D) brand dilution E) co-branding
The basic duty of the buyer is to accept and pay for the goods if they conform to the contract.
Answer the following statement true (T) or false (F)
Which are two main types of external funds for venture financing:
A. Debt and equity B. Debt and savings C. Savings and investors D. Equity and savings
Functional account expenses are _____
a. shared by two or more departments b. reported by the names of their cost c. classified on the basis of purpose or activity d. related to a retailer's performance during the budget period