Depreciation method used for tax purposes

Reference no: EM13142692

A company changes from straight-line to an accelerated method of calculating depreciation, which will be similar to the method used for tax purposes. The entry to record this change should include a

A) credit to Accumulated Depreciation.

B) debit to Retained Earnings in the amount of the difference on prior years.

C) debit to Deferred Tax Asset.

D) credit to Deferred Tax Liability.

Reference no: EM13142692

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