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> Some things that stood out to me, changing depreciation rules to “magically” generate $770M in revenue. Changing depreciation schedule has no impact on reven
by hardikgupta 3y ago
> Some things that stood out to me, changing depreciation rules to “magically” generate $770M in revenue.
Changing depreciation schedule has no impact on revenue. It only affects costs and therefore profit.
- ChuckMcM 3y agoYou are correct. Public companies can change their depreciation schedules at any time and accountants use that fact to change their "losses" in a way that is most beneficial to the company. Too much profit so have to pay taxes? Depreciate things faster. Not enough profit to appease the investors? Depreciate things more slowly.