问题
单项选择题
Which of the following statements about depreciation is FALSE（）
A. Depreciation reduces a firm’ s tax liability.
B. Depreciation is a cash flow.
C. Depreciation is a tax-deductible expense. Use the following data to answer Questions. Gross fixed assets 1000 Accumulated depreciation 400 Depreciation expense 100 Salvage value 50 Economic asset life 4 years
答案
参考答案：B
解析：
Depreciation is a tax-deductible expense. It reduces taxable income and tax expense, but it is not a cash flow. The cash changed hands when the asset being expensed via depreciation was purchased.