Which of the following statements about the Modified Accelerated Cost Recovery System (MACRS) is true? (Select all that apply.)
Check All That Apply
MACRS is not acceptable for financial reporting purposes.
MACRS is similar to the units-of-production method and is applied over relatively short asset lives to yield high depreciation expense in the early years.
Most corporations use MACRS to calculate depreciation expense for their tax returns.
The lower amounts depreciation expense reported under MACRS reduces a corporation's taxable income and therefore the amount it must pay in taxes.