Depreciation is a relevant cost in a decision only in the context of:
A)Time value of money.
B)Amortized values.
C)Reducing tax liability.
D)Sunk cost.
E)Financial accounting.

Question

Quizplus · Accepted Answer

Depreciation is relevant in decision-making when it affects cash flows, such as reducing tax liability, because it is a non-cash expense that can lower taxable income.

Depreciation Is a Relevant Cost in a Decision Only in the Context