REQUIRED: ANSWER THE FOLLOWING QUESTIONS IN POINT FORM • What is the difference between book value and market value? Which should we use for decision making purposes? • What is the difference between accounting income and cash flow? • What is the difference between average and marginal tax rates? • How do we determine a firm’s cash flows? • What is CCA? How is it calculated?

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter11: Capital Budgeting Decisions
Section: Chapter Questions
Problem 12MC: Which of the following does nor assign a value to a business opportunity using time-value...
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REQUIRED: ANSWER THE FOLLOWING QUESTIONS IN POINT FORM

• What is the difference between book value and market value? Which should we use for decision making purposes?

• What is the difference between accounting income and cash flow?

• What is the difference between average and marginal tax rates?

• How do we determine a firm’s cash flows?

• What is CCA? How is it calculated?

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