All other things being equal, when comparing expensing or capitalizing the R&D expenditures (with straight-line depreciation), return on assets:
A)will decrease over time using capitalization.
B)will increase over time using capitalization.
C)will be constant using expensing.
D)will initially be higher under expensing.

Question

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The Answer of All other things being equal, when comparing expensing or capitalizing the R&D expenditures (with straight-line depreciation), return on assets:
A)will decrease over time using capitalization.
B)will increase over time using capitalization.
C)will be constant using expensing.
D)will initially be higher under expensing.

All Other Things Being Equal, When Comparing Expensing or Capitalizing