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Which of the following statements about depreciation is least accurate? A. Return on assets is initially higher using straight-line depreciation than it is using accelerated depreciation. B. For a firm with increasing capital expenditures, accelerated depreciation methods tend to increase both net income and stockholders' equity when compared to straight-line depreciation. C. If an asset produces a constant stream of net income over its useful life and is depreciated using the straight-line method, the rate of return on the asset increases over its life. |